10 Stocks That Members of Congress Own

2. Microsoft Corporation (NASDAQ:MSFT)

Number of Hedge Fund Holders: 317

Microsoft Corporation (NASDAQ:MSFT) is a multinational technology company that develops, licenses, and supports a wide range of software, hardware, and cloud services. Its key products include the Windows operating system, Microsoft Office productivity suite, and Azure cloud platform. The company also manufactures hardware like the Surface devices and Xbox gaming consoles. MSFT generates revenue through software sales, cloud services, subscription-based products (e.g., Office 365, Xbox Game Pass), and advertising.

Microsoft Corporation (NASDAQ:MSFT) delivered impressive Q2 results, highlighted by a 75% growth in constant currency bookings and a surge in Azure AI contracts. The company’s AI revenue, largely driven by inference and post-training workloads as well as Copilot-related income, reached $13 billion. While MSFT is facing capacity constraints in its AI infrastructure, it anticipates that supply and demand will align by the end of fiscal year 2024. The company is making substantial investments in data center infrastructure and plans to transition toward more server-focused investments once its global footprint is established. Microsoft 365 Copilot is surpassing expectations, with initial buyers increasing their usage, while Copilot Chat, launched in January, has gained strong traction with over 400 million commercial M365 users.

Microsoft Corporation (NASDAQ:MSFT) remains committed to both AI innovation and traditional cloud migration, despite some hurdles in non-AI Azure workloads. Its partnership with OpenAI continues to thrive, positioning MSFT as OpenAI’s primary partner through 2030. The company has also effectively managed gross margin pressures related to AI, improving overall margins in fiscal year 2025 by leveraging operating expense efficiencies. These results reflect MSFT’s dedication to maintaining a balanced approach between cutting-edge AI developments and strengthening its broader cloud offerings, ensuring sustained growth and market leadership. With at least 317 hedge funds owning the stock, MSFT is also one of the stocks owned by Congress.