Wells Fargo Raises PT on Microsoft (MSFT) Stock

June 7, 2026 - 00:47

Wells Fargo has raised its price target on Microsoft stock, signaling confidence in the tech giant's long-term growth. Analyst Michael Turrin increased the target to $650 from $625 on June 1, while maintaining an "Overweight" rating on the shares. The move comes as Turrin argues that recent investor worries about Microsoft's artificial intelligence strategy are overdone.

According to the analyst, the market has been too quick to doubt Microsoft's position in the AI race. He believes the company's deep integration of AI across its product lineup, from Azure cloud services to Office 365, gives it a durable competitive advantage. The new price target suggests roughly 15% upside from current trading levels.

Microsoft remains one of the most closely watched stocks in the tech sector, with many investors viewing it as a bellwether for enterprise spending and AI adoption. The company has invested heavily in OpenAI and has been rolling out AI features across its software suite at a rapid pace. While some analysts have questioned the near-term return on these investments, Turrin's updated outlook indicates that the payoff is coming.

The stock has seen volatility this year as the broader market digests changing interest rate expectations and mixed economic data. However, Wells Fargo's latest call reinforces the view that Microsoft is a top pick among large-cap stocks for those looking for both stability and growth. The "Overweight" rating means the firm expects the stock to outperform its sector or the broader market over the next 12 to 18 months.

Investors will be watching Microsoft's next earnings report for further evidence that its AI investments are translating into revenue growth. For now, the raised price target from a major Wall Street bank adds to the bullish case for the stock.