Microsoft Guides $190B 2026 Capex, Azure Hits Record Revenue; Stock Jumps 9%
MSFT sits 22% above its 52-week low of $349.2.
Summary
Microsoft dropped a massive capex guide of roughly $190 billion for 2026, with $41 billion already spent in Q1, signaling an all-in bet on AI infrastructure. This follows blowout Q4 results where revenue hit $90 billion and Azure grew 43%, but the capex number dwarfs the $115.9 billion spent in FY26 and shows the spending ramp is accelerating. The 9% after-hours pop suggests the market is rewarding the growth story despite the cash burn. However, management warned data-center capacity limits will persist through end of 2026, which could cap Azure's upside. Separately, Disney's decision to drop GitHub Copilot for OpenAI Codex is a small but notable competitive loss in developer tools. Goldman Sachs is arranging $5.4 billion in debt for a Microsoft-tied data center project, adding another layer to the infrastructure push.
At the time of this announcement, MSFT was trading at $425.21 on NASDAQ in the Technology sector, with a market capitalization of approximately $2.9T. The 52-week trading range was $349.20 to $555.45. This news item was assessed with positive market sentiment and an importance score of 9 out of 10. Source: Wiseek News.