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Here's Why Microsoft Fell After Earnings, Despite Beating Expectations

Microsoft (NASDAQ: MSFT) recently reported its fourth-quarter earnings, and the tech giant beat expectations on both the top and bottom lines. However, the stock fell significantly after the earnings report, and Fool.com analysts Matt Frankel and Tyler Crowe tell you why in this short video.

*Stock prices used were the morning prices of Jan 29, 2026. The video was published on Feb.1, 2026.

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Matt Frankel, CFP has no position in any of the stocks mentioned. Tyler Crowe has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Microsoft. The Motley Fool has a disclosure policy.

Matthew Frankel is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link they will earn some extra money that supports their channel. Their opinions remain their own and are unaffected by The Motley Fool.

The Motley Fool
Founded in 1993 in Alexandria, VA., by brothers David and Tom Gardner, The Motley Fool is a multimedia financial-services company dedicated to building the world's greatest investment community. Reaching millions of people each month through its website, books, newspaper column, radio show, television appearances, and subscription newsletter services, The Motley Fool champions shareholder values and advocates tirelessly for the individual investor. The company's name was taken from Shakespeare, whose wise fools both instructed and amused, and could speak the truth to the king -- without getting their heads lopped off.
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