Microsoft (MSFT) rose 7% to a record after Democrats won both the House and Senate in Tuesday's midterms, while Amazon (AMZN) gained 7% and CoreWeave (CRWV) fell 9% on worries that AI data-center build-outs could slow. The author argues Microsoft funds its build-out from its own cash, with about $60 billion of free cash flow over the twelve months to September. Amazon, by contrast, posted a $42.4 billion free cash flow outflow over the same period as it pays for AWS expansion, while CoreWeave needs customers to keep adding capacity to cover expected third-quarter interest expense of $860 million to $940 million. Microsoft's forward P/E was 25x at Tuesday's close, below its five-year average of 29x, and about 26x after the rally. However, its free cash flow fell to $18.6 billion last quarter from $25.7 billion a year earlier, and CFO Amy Hood guided capex above $50 billion for the next quarter.
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MSFTAAPLAMZNmidterm electionsdata centers
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Related tickers and likely impact
MSFT
▲ Likely positiveMicrosoft
Relevance: high
| Market | US stocks |
|---|---|
| Sector | Information Technology |
| Industry | Systems Software |
| Market cap | $3.9T |
| Close on 11/03/2026 | 520.99 |
| Change that session | +2.74% |
AAPL
▲ Likely positiveApple Inc.
Relevance: high
| Market | US stocks |
|---|---|
| Sector | Information Technology |
| Industry | Technology Hardware, Storage & Peripherals |
| Market cap | $5.1T |
| Close on 11/03/2026 | 331.90 |
| Change that session | -1.90% |
AMZN
▲ Likely positiveAmazon
Relevance: high
| Market | US stocks |
|---|---|
| Sector | Consumer Discretionary |
| Industry | Broadline Retail |
| Market cap | $2.6T |
| Close on 11/03/2026 | 250.69 |
| Change that session | +2.06% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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