Microsoft is expected to report Q4 2025 revenue of $80.3 billion and EPS of $3.92, with its $473.15 stock price currently trading well below the $620.94 average analyst target. The primary focus for investors remains the quarterly growth rate of the Azure cloud business and tangible evidence of returns on massive AI-related capital expenditures.
While Azure recently saw 40% year-over-year growth, management has guided for a slight cooling to roughly 37% due to physical capacity constraints in data centers. Analysts are specifically watching the enterprise adoption of Copilot and whether the company's $80 billion investment in infrastructure is translating into sustainable margin expansion.