Microsoft stock fell more than 2.2% on Thursday, closing at $381 after touching a weekly high of $402 on Monday. The decline comes amid heightened tech sector volatility and renewed scrutiny of large AI capital expenditures by major technology companies. Investment firm Oppenheimer has advised investors to accumulate the dip, viewing the downturn as a temporary phase. Analyst Brian Schwartz maintained a buy rating for Microsoft stock, predicting the share price could climb above $500. Oppenheimer set a new price target of $515, representing a potential return of approximately 35% from the current price.
Microsoft stock (NASDAQ: MSFT) fell more than 2.2% on Thursday as the tech sector experienced heightened volatility.
It closed the day’s trading session at $381, after touching a high of $402 on Monday early this week.
The correction comes as tech titans are once again being scrutinized for their AI capital expenditures, which are increasing in value.
On the heels of the recent dip, investment banking firm Oppenheimer urged investors to accumulate the dip, citing the downturn as “a temporary phase that will soon shed its skin into a new form.”
Brian Schwartz, Oppenheimer’s Managing Director and Enterprise Software Equity Research, maintained his buy rating for Microsoft stock.
He wrote in a note to clients on Wednesday, July 22, 2026, that MSFT could climb above the $500 level next.
Oppenheimer’s analyst predicted that Microsoft stock would reach a new price target of $515.
That represents a return on investment of approximately 35% from its current price of $381.
While Oppenheimer’s prediction is bullish, other Wall Street giants have given bigger targets.
Wells Fargo gave MSFT a target of $625, and Bernstein gave it a target of $646.
Wall Street remains confident in Microsoft stock’s price prospects, according to the data.
