Microsoft shares up 9% Q4 earnings beat and Azure $100B

Microsoft's stock surged on Thursday, July 30, 2026, following the release of strong quarterly earnings that eased investor concerns over the company's massive capital spending on artificial intelligence infrastructure. The company reported fiscal fourth-quarter results on Wednesday that exceeded analyst expectations, driven by robust growth in its Azure cloud services.

The software giant's shares jumped more than 9% in premarket and after-hours trading. For the quarter ended June 30, 2026, Microsoft reported revenue of $90 billion, an 18% increase from the same period last year and above analyst forecasts. Net income rose to $35.8 billion. A key driver was the Intelligent Cloud segment, which saw revenue grow 32% to $39.3 billion. Within that, revenue from Azure and other cloud services accelerated, increasing by 43%. Microsoft also announced that Azure surpassed $100 billion in annual revenue for the first time during the 2026 fiscal year.

Investors were particularly relieved by the company's capital expenditure figures and outlook. Microsoft spent $41 billion on capital expenditures and leases during the quarter, which was slightly below some expectations. Crucially, the...