Fuente: Unsplash
Microsoft It is currently one of the most important companies in the world, and one of the heavyweights in the world of technology, moving a very high amount of money every day. Moreover, he was recently the protagonist of one of the most high-profile business dramas of recent years, especially for the world of video games: the purchase of Activision-Blizzard-KingOne of the largest video game development and distribution companies in the world, with a not insignificant $69 billion.
This amount of money is unimaginable to most of us, but to give us an idea, it is larger than the GDP of many countries and 36.31 times larger than the last bailout of the President. Joe Biden is a Wall Street During the pandemic. Despite all the controversy surrounding this purchase, Microsoft He was able to execute it on October 18, acquiring his entire catalog of video games, as well as his profits, debts, and physical attributes. After the purchase, the share price increased gradually and significantly MicrosoftBut by November 29, 2023 there was a drop that continued a week later.
Fuente: Unsplash
Why are Microsoft shares falling?
Despite the bullish streak, the company appears to be facing significant resistance, above $400 per share, currently hovering around $370. Actually, this is the first time since the purchase Activision-Blizzard-King Companies that are faced with this situation. However, its net income continues to rise, so this resistance appears to be more due to investor activity than company decisions. In the world of video games, Microsoft has many titles announced, so this small break in its growth does not seem to be a hindrance in any way.
on the other hand, Xbox, Microsoft’s main video game platform, has not been very lit for its catalog, so this may be another important factor in the behavior of its stock market price, since they are not currently the world’s first video game company, but they own it. New Activision-Blizzard-King brand games sponsored by Microsoft have yet to be announced, but are expected to happen in the short to medium term.
How do falling stocks affect retail investors?
With respect to retail investors, the value of these stocks can be absorbed thanks to In instruments like CFD trading or contracts for difference, since, with this method, you can manage the differences in the purchase and sale prices of assets, which means that it is possible to take advantage of bearish streaks and resistance. However, you must remember that these types of operations are very risky and you must be careful, doing a proper market analysis. Currently, the green candles are starting to thicken, which could mean a return to the bullish streak, but caution should always be exercised in this type of operation.
Regardless, the presence of good news around the Windows parent company, or the upcoming announcement of classic video games or new eSports brought to a new generation, could trigger Microsoft’s shares in the future and investors will be waiting. For that opportunity.
Conclusion
Despite resistance, Microsoft Its price may improve in the near future, mainly due to the long-awaited Christmas rally, a period of rising stock market prices that usually occurs around the Christmas season almost every year and leaves big profits for companies. On the other hand, Microsoft’s revenue did not fall Despite everything, which may indicate that the company is doing much better than it may believe, it is for this reason that it is expected that the shares of the company will rise again in the near future.
