- Consensus estimates for Microsoft’s (NASDAQ:MSFT) Q1 aftermarket report, compared to the prior year’s quarter performance: Q1 revenue, $23.57B (+6%); Q1 EPS, $0.72 (-5%); FY18 revenue, $104.61B (+8%); FY18 EPS, $3.19 (-4%).
- Cloud performance: The Cloud segment includes the Azure platform and the cloud-based Office 365 enterprise products. Microsoft wants to hit a $20B valuation for this segment within FY18, which would make the segment account for over 20% of total revenues.
- Data note: Microsoft Azure was second in the cloud infrastructure services market in Q2, but that was with only a 13.8% market share and there’s a lot of room to grow against Amazon (NASDAQ:AMZN) Web Services.
- Productivity and Business Processes: This segment encompasses the Office products and affiliated subscriptions. Microsoft relies heavily on enterprise customers. Strength needed and expected here.
- More Personal Computing: The segment represents windows revenue and tracks the global PC market, which is experiencing continued but slight decline. The PC market problem could also ding Intel’s earnings today. Xbox sales also go in this segment so expect some details about the newer Xbox One console.
- Previously: GE, Microsoft to announce industrial cloud partnership (Oct. 25)
- Now read: Thrilling Thursday - Will Big Tech Justify Nasdaq 6,666?
Original article