May. 16 at 2:00 AM
Bill Ackman said Pershing Square has built a new stake in Microsoft, taking advantage of the stock’s decline to invest in what he sees as a stronger and more resilient business than investors currently appreciate.
Ackman said Microsoft is now one of Pershing Square’s top holdings, highlighting Microsoft 365 and Azure as “two of the most valuable franchises in enterprise technology.” The hedge fund began buying shares in February and plans to disclose the position in a regulatory filing.
Microsoft shares erased early premarket losses and rose 0.9% to
$413 in New York trading. Despite this, the stock is still down 15% this year amid concerns over Copilot adoption, competition in the 365 business, and data center capacity constraints affecting cloud demand.
Ackman argued Microsoft 365 is deeply embedded in large enterprises and nearly impossible to replicate, while strong Azure demand shows growth concerns are overstated.
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