The US stock market has been increasingly volatile in the first three months of 2025. That has led projections to be shrouded in continued uncertainty amid geopolitical tension and a fragile US economy. Subsequently, Microsoft (MSFT) has recently gotten a price target cut and an outperform rating, with the stock eyeing $475.
The mega-cap stock was among the hardest hit from the recent Wall Street downturn. Although things bounced back with US President Trump’s 90-day tariff pause, stocks tumbled once again just a day later. With the Dow Jones Industrial Average dropping more than 1,250 points, information and outlook updates are paramount for traders.
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Microsoft Bounces Back, Then Falls Again Amid New Outlook
It has certainly been an interesting time for Wall Street so far. In particular, the Magnificent Seven have struggled to navigate continued turbulence, with Microsoft (MSFT) being no exception. The stock dropped 3.4% on Thursday, with increased volatility pushing the stock firmly below the $380 mark.
The question is, will things turn around for the Windows developer? Amid those burning questions, Microsoft has gotten its price target cut, alongside an outperform rating, in a new outlook by Wedbush analysts. Specifically, they note that their recent update was driven by ongoing economic challenges affecting the market as a whole.
Also Read: Microsoft (MSFT) Gets $510 Target, Bullish Rating Amid Key Growth Plan
According to the firm, the target for MSFT has been dropped from its previous $550 to its current $475. Moreover, it is currently facing mixed sentiment from analysts, with the $2.9 trillion firm facing what experts have called an “economic Twilight Zone.”
Currently, 92% of analysts have a buy rating on the stock, according to CNN. Moreover, it holds a $500 median price target, up 32% from its current position. On the high end, it has 59% upside, with a $600 projection. Additionally, its low-end price point this year is at $415, which is still up 10% from its recent decline.