Microsoft's third quarter beat Wall Street expectations, with revenue of $92.28 billion versus $90.64 billion expected (1.8% beat) and GAAP EPS of $4.92 versus $4.72 (4.3% beat). Management credited wide adoption of its cloud and AI offerings, particularly Copilot and Foundry, for rapid growth in enterprise demand, and CEO Satya Nadella said automated tasks have nearly doubled since July. Gross margin was 67.8%, down from 69% a year earlier, while operating margin of 49.8% was in line with the prior year; market capitalization stood at $3.94 trillion. The article also reviews five analyst questions from the call, covering long-term return drivers, Azure growth, enterprise versus digitally native AI workloads, operating margin sustainability, and usage-based billing outside coding.
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MSFTearningsartificial intelligencecloud computingsoftware
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Related tickers and likely impact
MSFT
• NeutralMicrosoft
Relevance: low
| Market | US stocks |
|---|---|
| Sector | Information Technology |
| Industry | Systems Software |
| Market cap | $3.9T |
| Close on 10/30/2026 | 521.90 |
| Change that session | -1.55% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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