Microsoft Shares Jump 29% After Earnings as Free Cash Flow Falls
Microsoft shares surged 29% over eight sessions after its July 29 earnings report, trading at $494.12. Revenue rose 18% to $90B, but free cash flow fell 23% to $19.6B as AI infrastructure spending accelerated. Backlog is about 7.5 quarters of revenue, yet chips, electricity, and new data centers are needed before demand converts into cash.