Microsoft stock price forecast: Morgan Stanley sees another 11% upside

Microsoft Corp (NASDAQ: MSFT) has already gained well over 50% in the trailing twelve months but a Morgan Stanley analyst is convinced it has further room to the upside still.

Microsoft stock has upside to $465

Keith Weiss reiterated his “buy” rating on the tech behemoth this morning. His $465 price objective suggests about an 11% upside from here.

The analyst is bullish on Microsoft stock primarily because he expects it to “capture incremental market share” in cybersecurity in which it already has a “formidable presence”.

He’s convinced that security is a part of $MSFT that will sustainably note “mid-teens topline growth” moving forward.

Wall Street currently has a consensus “buy” rating on Microsoft shares that pay a dividend yield of just over 0.7% at writing.

$MSFT continues to be the industry leader

Keith Weiss attributed his positive view on Microsoft stock particularly to the company’s large installed base and active participation in several product categories.

All in all, he recommends owning $MSFT as it continues to be the industry leader. The Morgan Stanley analyst also told clients in a research note today:

“With estimated $25 billion in revenue, up 25% YoY, and >1 million customers, we believe security remains an underappreciated source of growth for Microsoft and estimate >$30 billion in revenue by FY25.”

The bullish call arrives more than a month after Microsoft reported its financial results for the second quarter that topped Street estimates (read more).