Microsoft FTC probe 'not a complete shocker,' analyst says

Published On Nov 29, 2024, 10:35 AM

Microsoft is facing a broad antitrust investigation from the Federal Trade Commission (FTC), which is not unexpected according to analysts. Dan Ives, a Wedbush analyst, believes this probe may not be a serious threat and anticipates a shift in FTC leadership that could ease regulatory scrutiny on big tech companies. The investigation focusses on Microsoft's bundling of cloud services with its software products. Despite the ongoing probe, Microsoft shares rose slightly by 0.1% after initially dropping.

Stock Forecasts

MSFT

Positive

With analysts suggesting that the FTC's actions may be more of a warning than a substantial threat, and considering the potential for leadership changes within the FTC that could favor big tech, Microsoft's stock may stabilize or improve. This sentiment could indicate a positive reaction from investors as concerns around these regulatory challenges diminish.

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Microsoft stock was lagging behind its tech peers on Friday as investors reacted to news the company is facing a broad inquiry from the FTC.

Stocks finished off a winning month of November at record highs to cap a holiday-shortened trading session.

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MSFT

Stocks finished off a winning month of November at record highs to cap a holiday-shortened trading session.

SPY
SMCI
MSFT