Analyst Ming-Chi Kuo Says 'Analysis Of The Impact Of Microsoft's Financial Report On AI Supply Chain Stocks: Lack Of Short-term Benefits, But May Be Favorable To The Long-term Outlook' - Medium
Portfolio Pulse from Benzinga Newsdesk
Analyst Ming-Chi Kuo has analyzed the impact of Microsoft's financial report on AI supply chain stocks. He notes that Microsoft's Azure revenue increased by 29% YoY, beating market expectations. However, Microsoft's Capex growth has slowed significantly, suggesting a shift in AI investment focus from building AI computing power to application and business development. This shift may initially be evidenced by the slowdown in capex growth and better-than-expected profits. While this may not benefit AI supply chain stocks in the short term, it could be favorable for long-term AI server shipment growth and investment confidence.
October 25, 2023 | 5:18 pm
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Microsoft's shift in AI investment focus from building AI computing power to application and business development may not benefit AI supply chain stocks in the short term, but could be favorable for long-term AI server shipment growth and investment confidence.
Microsoft's shift in AI investment focus is evidenced by the slowdown in capex growth and better-than-expected profits. While this may not benefit AI supply chain stocks in the short term, it could be favorable for long-term AI server shipment growth and investment confidence.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100