Top AI Stock to Invest in and Keep for the Next Ten Years

Key Points

• Microsoft’s Azure revenue increased 40% year-over-year, consistent for three consecutive quarters.

• The company’s commercial backlog surged to $627 billion, nearly doubling from the previous year.

• In its fiscal third quarter, Microsoft reported a net income of $31.8 billion, an increase of 23% year-over-year.

Microsoft (NASDAQ: MSFT) reported a significant increase in its Azure cloud services revenue by 40% year-over-year for the fiscal third quarter, ending March 31, 2026. This growth comes as the company continues to see strong demand for AI services, with the AI segment surpassing an annual revenue run rate of $37 billion, up 123% from last year. The commercial backlog also showed robust growth, reaching $627 billion.

In terms of overall financial performance, Microsoft’s revenue for the quarter increased to $82.9 billion, with a net income of $31.8 billion and earnings per share of $4.27, reflecting a year-over-year profit growth of 23%. Despite a current trading price approximately 30% below its 52-week high of $555.45, Microsoft is anticipated to invest about $190 billion in capital expenditures for the upcoming year, raising investor concerns regarding returns on this significant spending plan.