5 “Great” Earnings Reports Jim Cramer is Talking About

1. Microsoft Corporation (NASDAQ:MSFT)

Number of Hedge Fund Holders: 259

Cramer said that Microsoft Corporation (NASDAQ:MSFT) “stole the earnings season” and the company reported “great numbers across the board”. Cramer is bullish on the company’s AI initiatives and noted that it is “already using (AI) to generate games”. As of May 12, Microsoft Corporation (NASDAQ:MSFT) has returned 27.91% to investors over the past 6 months.

On April 25, Microsoft Corporation (NASDAQ:MSFT) reported strong earnings for the third quarter of fiscal 2023. The company generated a revenue of $52.86 billion, up 7.08% year over year and ahead of Wall Street consensus by $1.83 billion. The company reported an EPS of $2.45 and beat EPS expectations by $0.22.

259 hedge funds disclosed having stakes in Microsoft Corporation (NASDAQ:MSFT) at the close of the fourth quarter of 2022. The total value of these stakes amounted to $58.6 billion. As of December 31, Bill & Melinda Gates Foundation Trust is the dominant shareholder in the company and has a stake worth $9.1 billion.

Diamond Hill Capital made the following comment about Microsoft Corporation (NASDAQ:MSFT) in its Q1 2023 investor letter:

“We did have several strong performing stocks this quarter. Our top contributors to return included NVR, Amazon, Alphabet, Microsoft Corporation (NASDAQ:MSFT) and Booking Holdings, all of which posted double-digit gains.

Shares of software and IT services provider Microsoft rallied as investors became less cautious about the potential for growth deceleration in Azure, its public cloud business, and more focused on opportunities in search after the company announced an investment in and long-term partnership with OpenAI, the company that developed ChatGPT. Microsoft’s net cash balance sheet also seemed to gain appreciation from investors who became more cautious about the economic cycle.”

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