14 DAY TRIAL // Microsoft is one of the first companies that are pushing so hard for cloud services, and it all seems to be paying off these days.
With a market cap that gets close to $1.39 trillion, Microsoft is currently one of the most valuable companies in the entire world.
And according to Wells Fargo Securities analyst Philip Winslow, the software giant won’t just stop here, as it’ll continue to grow and grow to reach $2 trillion market valuation at some point in the next two years.
This is quite good news for Microsoft, as the Windows maker could become the first company in the world to be worth $2 trillion, even beating Apple to this milestone. The Cupertino-based tech giant is currently the world’s most valuable company with a market cap that’s around $1.4 trillion.
The push for enterprise and cloud products
But as far as Microsoft is concerned, Winslow believes that it’s this push for cloud services that’s fueling the company’s adventure to the “first” $2 trillion. In other words, Microsoft’s cloud offering will be even more successful than it currently is, so it’ll remain the main engine for the company’s growth, obviously alongside products whose adoption is currently skyrocketing, including here Microsoft Teams.
Winslow believes Microsoft stock will end up being priced at $283 and the company will maintain its 14 percent revenue growth in the next few years, according to Fool.com, with 20 percent growth to come from the intelligent cloud segment alone.
Needless to say, cloud services and an increased enterprise focus have all been part of Satya Nadella’s long-term strategy at the helm of Microsoft, and while this plan has originally been considered a mistake, everything now seems to be paying off.
It remains to be seen if Winslow’s prediction turns out to be accurate, but for now, only sky seems to be the limit for Microsoft.