Nvidia and Microsoft stocks hit multi-year lows—is now the time to buy?
Shares in Nvidia and Microsoft have dropped to their lowest valuations in years. The recent tech sell-off has pushed prices down, creating what some see as a buying opportunity. Both companies remain key players in artificial intelligence, with strong growth forecasts for the coming year.
Nvidia's stock has fallen to levels last seen in April 2025, matching the lows of the 2023 tech downturn. The company's GPUs are essential for AI training and deployment, positioning it as a major beneficiary of ongoing AI investment. Analysts now project a 65% revenue increase for fiscal 2027, ending January 2027.
Microsoft's share price has also dipped, trading at its cheapest since the 2023 tariff-related sell-off. After hitting a 52-week low of 344.83 USD in April 2025, the stock climbed to around 398–400 USD by late February 2026—a 15.6% rise. This recovery followed strong Q3 FY2026 results, with earnings per share jumping to 5.16 USD (from 3.23 USD) and revenue reaching 81.27 billion USD, up 16.72%.
The company's growth drivers include rapid expansion in cloud computing—Azure grew 39% year over year in Q2 FY 2025—and deeper AI integration across its software. While high AI infrastructure costs and a broader market downturn have weighed on valuations, both firms now trade at lower price-to-forward-earnings ratios than in recent years.
The current dip in tech stocks has made Nvidia and Microsoft more affordable for investors. Nvidia's dominance in AI hardware and Microsoft's cloud and software growth suggest potential for recovery. Both companies remain central to the AI sector's expansion, with concrete revenue and earnings projections for the near term.
