Kills me to see this stock going higher. They just now announced a restructuring. No company that's doing great with business does such a thing. PC sales continue to fall, as iPad sales jump. Now, they just announced discounts on Surface RT (because they're not selling). Windows 8 is still a laggard. Enterprise sales are hitting a top; look at HP and Dell enterprise hardware sales--not really growing. Virtualization hits a max after awhile, and the need to upgrade hardware has to happen, but not to the degree you would expect. ORCL's shortcomings last quarter should be a good indicate of where enterprise software sales are headed.
It confound you because you are listening to the herd. You do not listen to many on this board that have pointed out the positives about MSFT. If you think that MSFT is all about the PC then you are mistaken. Here is a quick primer for those that actually want to learn.
1. PC are not dead only in retrenchment from bad economy. Sales are picking up on the corporate side.
2. MSFT is killing it on the Enterprise side. IT is the dominant server technology in the market. SQL, Exchange kick it in the marketplace. Productivity software "Office" dominates. MSFT has made big inroads in the visualization space in the last year.
3. Cloud initiatives like Office 365 are making big inroads. They are gaining market share.
4. MSFT is becoming a player in the mobile space including Tablets and Phones. True they are not a big player yet but they are gaining market share. They will double the amount of phone market share they have in one year.
5. XBOX consoles are getting to be big money for MSFT. That will continue.
That is what stocks are supposed to do. It is called climbing the wall of worry. The big gains come when the prospects are not so good. Once things get better prices still rise (maybe) but a lot slower.