Tech giant Microsoft (NASDAQ:MSFT) has a lot coming up with its video game business. In fact, not only does it have a claim on a game that was previously a Sony (NYSE:SONY) exclusive, but it’s also looking at potential hardware revisions that could mean new console releases soon. All of this combined sent Microsoft up fractionally in the closing minutes of Tuesday’s trading session. First, the poached software. Turns out that Microsoft is working on landing one of the biggest titles in Sony’s arsenal: the remake of “Final Fantasy 7.”
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The discussions between Microsoft and Square Enix are in the preliminary stages, so this could ultimately go anywhere, possibly including nowhere at all. Still, the fact that the original “Final Fantasy 7” remake got its first installment treated as a timed exclusive—where Sony got the honor for a while before the PC gaming market got a crack at it—suggests that Square Enix is open to the possibility.
Then the Hardware Upgrades Kick In
It’s easy to forget, at least until you remember the circumstances around the Xbox Series S/Series X’s catastrophic launch back during the Covid era, that both of Microsoft’s new systems are four years old this year. That’s making some wonder if mid-season hardware refreshes are in line, and indeed, rumors to that effect are already stirring. One report looks for the new console to be released in 2026 and powered by a Zen 5 CPU as opposed to a Zen 6 CPU, as some reports previously suggested.
Reports note that the sixth version of the Zen architecture won’t be ready by then. Meanwhile, others are looking for a broader range of options, including improved aesthetics like design and color scheme and improvements in controllers and storage. Some are even advocating for the return of physical media, a development that seems unlikely but would be the saving grace for stocks like GameStop (NYSE:GME).
What is the Target Price for Microsoft in 2024?
Turning to Wall Street, analysts have a Strong Buy consensus rating on MSFT stock based on 36 Buys and one Hold assigned in the past three months, as indicated by the graphic below. After a 63.49% gain in its share price over the past year, the average MSFT price target of $429.45 per share implies 10.16% upside potential.
