Investing in the stock market can be an exhilarating and nerve-wracking experience, particularly for newcomers who may feel overwhelmed by the process. However, identifying stocks that have the potential to outperform the market in the coming year can provide a strong foundation for any investor. One such stock worth considering is Microsoft Corporation.
As a leading global technology provider, Microsoft dominates the PC software market, holding over 73% of the market share for desktop operating systems. Since its addition to the Zacks Focus List in 2016, Microsoft’s stock price has surged by 672.41%, reflecting its robust performance and growth prospects.
Analysts have raised their earnings estimates for Microsoft, with the company boasting an average earnings surprise of 8.8%. For fiscal 2024, one analyst revised their earnings estimate, leading to an increase in the Zacks Consensus Estimate to $11.61. The company is expected to see earnings growth of 18.4% for the current fiscal year, indicating a positive outlook for investors.
Investing in stocks with rising earnings estimates can be lucrative since these companies are likely to experience price momentum. Stocks such as Microsoft, included in the Zacks Focus List, present investors with an opportunity to capitalize on potential future earnings revisions. If you’re seeking investment recommendations, consider downloading the “7 Best Stocks for the Next 30 Days” from Zacks Investment Research.
