Microsoft’s stock rose after the company reported its earnings for the quarter on Tuesday, but the tech giant’s guidance disappointed investors.
Microsoft reported a net income of $13.9 billion, or $1.95 per share, on revenue of $43.1 billion. That beat analyst estimates of $1.78 per share on revenue of $42.9 billion.
However, Microsoft’s guidance for the next quarter was lackluster, with the company saying that new business growth had slowed in December. Microsoft’s Chief Financial Officer Amy Hood said that the company’s guidance for the quarter was “below our long-term model.”
Analysts said that the earnings were “better than feared” amid the current trends in the tech sector.
The stock rose after the earnings were released, but investors are now looking ahead to see what the company will do to improve its outlook.
Meanwhile, the S&P 500 and ES futures were up after the Microsoft earnings were released, but traders are now looking ahead to see what will happen next.
For more information on Microsoft’s earnings and what to expect moving forward, view the full coverage on USNN.