Apps & Software

Microsoft (MSFT): Why A Rally?

Microsoft (MSFT) has moved from $28.65 to $29.52 over the last day-and-a-half. But, the move is largely on "soft" news, which means the stock may not stay up for long.

The company has released "Halo 3". With 1.5 million pre-ordered games at about $70 each, the revenue is not much in the scheme of things. It is not unclear whether the new product will substantially lift Xbox 360 sales. But, the device operation at MSFT losese hundreds of million of dollars a year, so making a dent would require quite a surge in units sold.

The other piece of news is more a rumor. Microsoft may buy 5% of Facebook for $500 million. Is that a good deal? It is almost impossible to tell. If Microsoft takes over the sale of all advertising on the social network site, it may make Redmond’s ad network more powerful. But, owning 5% of the company does not give Microsoft anything it might not get in a strategic relationship that involves no money. The market would probably rather see MSFT spend the $10 billion and buy Facebook outright.

Not much news, really. Not enough for a rally.

Douglas A. McIntyre

Travel Cards Are Getting Too Good To Ignore (sponsored)

Credit card companies are pulling out all the stops, with the issuers are offering insane travel rewards and perks.

We’re talking huge sign-up bonuses, points on every purchase, and benefits like lounge access, travel credits, and free hotel nights. For travelers, these rewards can add up to thousands of dollars in flights, upgrades, and luxury experiences every year.

It’s like getting paid to travel — and it’s available to qualified borrowers who know where to look.

We’ve rounded up some of the best travel credit cards on the market. Click here to see the list. Don’t miss these offers — they won’t be this good forever.

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.

AI Portfolio

Discover Our Top AI Stocks

Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.

You can follow him investing $500,000 of his own money on our top AI stocks for free.