Microsoft Inc - Daily - The stock is down 18% from its highs.

Overview

Microsoft Inc (NASDAQ: MSFT) is one of a handful of mega-cap companies which continue to outperform year on year and 2022 should be no different. Q4 earnings were released yesterday and were solid all round. Forward guidance also remains good too.

Financials

From a financial aspect the company is strong. Total market cap is $2.27tr. Full recent report for Q4 can be found here.

Technicals

Looking at the chart, Microsoft is one of a handful of technology stocks which still remain in an uptrend from the COVID low. The stock has fallen 18% from its highs, (it was down 25% at one point) but fundamentally nothing has changed. Technicals still hold up too. MACD trends negative with RSI reading 44. Over the last 5 years, the RSI has read this low just twice and has then bounced from here to continue higher. Support for the stock sits at about $295, followed by $280. Towards the upside, initial resistance sits at $320, followed by $364.

Summary

Over time, Microsoft will continue to help lead the world into innovation as their technology is superior and while the stock may be down, it will likely recover over the long term. In the short term, it could face more headwinds as investors pull money out of tech, but ultimately forecasts, guidance and previous numbers remain strong.