According to financial data, Microsoft’s market capitalisation currently stands at approximately $3.24 trillion, while the valuations of Apple and Nvidia — second and third on the list respectively — remain below $3 trillion.

This follows a sharp surge in Microsoft’s share price (MSFT), which has risen by over 26% from its April low.

Why has Microsoft’s share price risen?

The main driver behind the MSFT stock rally was last week’s quarterly report, which outperformed analysts’ expectations:
→ Earnings per share: actual = $3.46, forecast = $3.22;
→ Revenue: actual = $70 billion, forecast = $68.4 billion.

As reported in the media, investors responded positively to a notable increase in revenue from Azure cloud services.

Technical Analysis of Microsoft (MSFT) Shares

A wide bullish gap — over 7% — pushed the price above a key support line that had underpinned the 2024 uptrend in Microsoft stock.

However, following the report’s release, the price stabilised just below a resistance line drawn through previous key highs.

This provides grounds to interpret the current setup as a symmetrical triangle pattern with an axis around the $427 mark, suggesting short-term price consolidation within the defined boundaries.

Going forward, further key news related to Microsoft — a company less exposed to trade war impacts than Apple — could:
→ help maintain its status as the world’s most valuable firm;
→ support a potential bullish breakout through the resistance line and a continuation of the 2024 uptrend.

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