Despite what Standard and Poor’s says in their April 1st report on MSFT. I am bullish.
This could be an opportunity. With S&P mainly bearish on the stock because they believes ‘enterprises’ will delay purchasing new software in 2009 due to the current economic situation.
I challange that notion with the fact that companies that are downsizing are moving more operational activities to the network. This could cause an expansion in the enterprise software market.
Furthermore, MSFT consumer market will hold up well due to it’s low cost to acquire and build-in repeat market. Game console sales may suffer, but game sales will do well as long as good titles are available.
MSFT may by YHOO, I think the culture clash issue is no longer an issue. The issue is will there be search other than GOOG? MSFT may mount a strong effort in a fast growing search engine field. Plus YHOO would bring dominance in web presence.
4/3/2009 I have initiated a buy for MSFT at $18.50 as of today. I will invest up to 1/4 of my new MSFT allocation money at this price.