MSFT is trading at $460.99 (-4.29%) in after-hours, dropping despite reports of a strong Q2 earnings beat with $81.3 billion in revenue, as investor concerns focus on high AI capital expenditure and margin pressure.
- The strong Q2 revenue served as a benchmark for AI optimism.
- The reaction suggests significant disappointment in profitability details and guidance, despite pre-earnings anticipation built on five straight prior beats.
- Broader market futures are mixed following the release.