Several Wall Street analysts issued bullish reports on Microsoft stock after the company's Build conference earlier this week. The software giant is seen driving adoption of artificial intelligence in the enterprise with its agentic AI tools.
"Microsoft jumped in with both feet to the vision of an agentic future at its annual Build developer conference," Deutsche Bank analyst Brad Zelnick said in a client note Friday. "Microsoft is innovating rapidly to give developers the tools they need to build and incorporate agentic AI into their workflows, organizations and products."
Microsoft announced upgrades to its two flagship AI development platforms: Azure AI Foundry and Copilot Studio, Zelnick said.
Zelnick reiterated his buy rating on Microsoft stock with a price target of 500.
On the stock market today, Microsoft stock fell 1% to close at 450.18.
Microsoft stock has been consolidating for the past 46 weeks at a buy point of 468.35, according to IBD MarketSurge charts.
At Build, the company unveiled Microsoft 365 Copilot Tuning that will allows users to train AI models on their own company's data, knowledge and unique style for use by Copilot agents on domain-specific tasks.
Microsoft also announced support for multiple-agent systems that can combine specialized skills of different agents to complete more complex requests.
Microsoft Stock Is A Long-Term Leader
Jefferies analyst Brent Thill maintained his buy rating on Microsoft stock with a price target of 550. In a client note Friday, he called Microsoft his "top AI pick."
A highlight of the Build conference was Microsoft adding reasoning capabilities to Microsoft 365 Copilot.
"We are extremely bullish on the long-awaited announcements that Copilot will get reasoning capabilities with Researcher and Analyst agents — finally helping narrow the gap between OpenAI's Deep Research," Thill said. "We expect that Microsoft will be quicker to integrate future reasoning models into Copilot."
On Thursday, Evercore ISI analyst Kirk Materne raised his price target on Microsoft stock to 515 from 500 and kept his outperform rating.
Microsoft stock is in the IBD Long-Term Leaders Portfolio.
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