Microsoft earnings after the close. What is expected?

Microsoft (MSFT) is set to release its fiscal Q3 2025 earnings after the market closes today, Wednesday, April 30.

Expectations are for:

• Earnings per share (EPS) of $3.22,or a year-over-year increase of 9.52% (from $2.94).
• Revenue is projected to reach around $68.4 billion, an increase of 10.57% rise from the same period last year ($61.86 billion)

Investor attention will be firmly focused on Microsoft’s Intelligent Cloud segment, with particular interest in Azure, which is expected to post 18% year-over-year revenue growth, reaching approximately $26.1 billion. Azure’s performance continues to serve as a key barometer of Microsoft’s strength in the cloud computing space.

In addition, Microsoft’s expanding AI portfolio—especially Microsoft 365 Copilot—remains under close scrutiny. While interest in these tools is strong, many customers are still evaluating the return on investment, and some partners have resorted to offering discounts to drive adoption.

Markets will also be watching for commentary on the potential impact of tariffs and trade policy, as these could weigh on enterprise demand and global IT spending.

The price of Microsoft is down -7.34% for the year after rising 12.09% 2024 (below the market averages). The all-time high was reached back in July 2024 at $468.35. To the lows reached on April 7 at $344.79, the price decline was -26.28%. The price is up 13.09% from the low.

The move to the upside has seen the price move back above it 50 day moving average at $386.17, giving the buyers a victory. If the price can stay above that level (currently trading at $388.38), the next key target comes against its 100-day moving average of $407.66 (+4.8% current levels). The 200 day moving averages at $414.37 (a gain of 6.7%).

Break back below the 50 day moving average and traders would look toward the 38.2% retracement at $371.18 (a decline of 4.3%)

Buyers are making a play above the 50-day moving average. Will the earnings support the move and keep the momentum going?

This article was written by Greg Michalowski at www.forexlive.com.