Connect with us

Hi, what are you looking for?


Buy Microsoft stock on the coming ChatGPT-enabled Bing: Analyst

buy microsoft stock on openai chatgpt bing

Microsoft Corp (NASDAQ: MSFT) was a disappointment for its shareholders in 2022. But the new year will likely be the one of “recovery”, a D.A. Davidson analyst said in a note this morning.

Microsoft stock could climb to $270

On Thursday, Gil Luria recommended that investors buy Microsoft stock at the current discount as it has upside to $270, which translates to a more than 20% increase from here.

He’s bullish primarily on the tech behemoth’s $1.0 billion investment in OpenAI – an artificial intelligence research lab that operates “ChatGPT”.

Microsoft’s investment in OpenAI will translate to significant underappreciated upside. Longer-term, incorporating ChatGPT into Bing may provide MSFT with a once-a-decade opportunity to unseat Google’s Search dominance.

A day earlier, “The Information” said Microsoft was working with OpenAI to incorporate ChatGPT into its flagship search engine.

OpenAI investment to benefit Azure as well

Interestingly, the D.A. Davidson analyst doesn’t expect OpenAI to benefit “Bing” only. In fact, Azure – its cloud platform stands to benefit just as much from the said investment. His note reads:

We’ve heard estimates between $250 million to $1.0 billion annual run rate of expenses at OpenAI, much of which is being spent on Azure. We expect those levels to increase significantly with the introduction of GPT 4.0 later this year and the many product offshoots that’ll link to OpenAI via APIs.

In just over a month of its launch, ChatGPT has surpassed 1.0 million in terms of user count. Luria is also convinced that the multinational is well-positioned to weather an economic downturn (find out more).

The Nasdaq-listed firm is set to report its Q2 results later this month. Consensus is for it to earn $2.28 a share versus the year-ago $2.48. Versus its high in mid-August, Microsoft stock is down about 25% at writing.

The post Buy Microsoft stock on the coming ChatGPT-enabled Bing: Analyst appeared first on Invezz.

Enter Your Information Below To Receive Free Trading Ideas, Latest News And Articles.

    Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

    You May Also Like


    Mimiq, Inc is announcing today the launch of their new product, Mimiq Track, at CES as part of their latest product line to operate...


    Bayerische Motoren Werke AG (ETR: BMW) shares have advanced more than 15% since the beginning of October 2022, and the current share price stands...

    Editor's Pick

    In Risky Business: Why Insurance Markets Fail and What to Do About It (Yale University Press, 2023), economists Liran Einav (Stanford), Amy Finkelstein (MIT),...

    Editor's Pick

    Real gross domestic product rose at a revised 3.2 percent annualized rate in the third quarter versus a 0.6 percent rate of decline in...

    Disclaimer:, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2023