Melius Moves MSFT to Overweight With $665 Target on AI Security
What happened
Melius Research raised its rating on Microsoft (MSFT) to Overweight from its prior stance and assigned a $665 price target, pointing to demand for AI-driven security products. The target sits above Microsoft's current share price of $528.10, implying roughly 26% upside. The firm framed AI security as a growing revenue driver for the company. Microsoft shares traded up 1.77% on the session. The upgrade follows a broader wave of analyst commentary on Microsoft's AI positioning.
The QL Read
The upgrade lands with QuantLogix scoring MSFT a composite 96/100 (Overweight) as the stock adds 1.77% in a mixed tape (VIX 16.06, breadth 47.2% advancing). Sell-side optimism aligns with the engine's top-decile factor read, though sector rotation into defensives bears watching.