Microsoft’s Market Worth Increased by Around $450 Billion In A Single Day, Setting A Record

After predicting stronger-than-expected cloud growth and indicating ongoing cash creation into its new fiscal year, Microsoft (MSFT.O) opened a new tab and added about $450 billion in market value on Thursday, the highest one-day increase ever for a business.

According to LSEG data, the software giant’s shares closed up more than 15%, increasing its market valuation to $3.35 trillion, exceeding that of semiconductor giant Nvidia (NVDA.O). This opens a new tab and surpasses the previous record one-day gain of $441 billion on April 9, 2025.According to chief market strategist Brian Mulberry, “Microsoft reported a very strong quarter and it struck the tone markets are looking to hear as the key drivers of growth came from the cloud and AI divisions.”

Investor worries that excessive spending on data centers and processing infrastructure might exceed demand were allayed by the results, which provided more proof that Microsoft’s enormous AI expenditures are starting to pay off.

With its shares down more than 18% as of Wednesday’s close, Microsoft has trailed behind several of its “Magnificent Seven” counterparts this year.

The stock’s target price was boosted by at least nine brokerages, and the average target is at $560.90.

Microsoft stated that its investment intentions are unchanged and that it anticipates capital expenditures of $175 billion for the 2026 calendar year and $50 billion for the fiscal first quarter of 2027.

According to Visible Alpha statistics, Microsoft anticipates Azure to expand 45% on a constant-currency basis in its first quarter, far exceeding analysts’ expectation of a 40.92% gain.

According to Jake Behan, head of capital markets at Direxion, “the key question was whether it could shift the conversation from how much it is spending on AI to what it is earning from those investments, and the results suggested meaningful progress.”