Microsoft is in the process of surprising analysts by showing good performance in the stock market over the last few weeks, with its share price rising 3% over the last few days alone.
This contrasts with Apple, who’s share price hit a 6 month low recently and recently closed below $600 for the first time since August.
While the analysts are still strong believers in the “Post-PC” future they do not think this is necessarily a barrier to the future existence of the company.
“I think Microsoft is diversified enough,” Drakon Capital’s Guy Adami said. “You’re not going to get buried on the downside.”
“I think the most encouraging aspect of what’s happened in the market over the last week is the fact that we lost the leaders — Google Apple and Amazon — but in their place we’ve seen Intel , Microsoft. We saw the industrials very strong today, so we’ve seen rotation that hasn’t hurt the market even as the leaders have gotten hit, which is a really positive sign.”
Simon Baker of Baker Avenue Asset Management said Microsoft had potential following the release of Windows 8.
“The feedback is really positive. They got 400,000 users (developers),” he said, adding that “1.5 million people a day are upgrading.”
The analysts saw Microsoft’s share’s rising above $40 on the upside, taking it away from the doldrums of between $20 and $30 where it has been languishing for a long time.
Do our readers think Microsoft has its mojo back and that traders are noticing? Let us know below.
Read more at CNBC here.