Microsoft stock (NASDAQ: MSFT) opened Thursday’s trading bell at $383 and has remained under pressure for over a month. The global software giant is facing scrutiny after announcing it will lay off 4,800 employees. The job cuts are especially from the Xbox department, and Amy Coleman, executive vice president and chief people officer, wrote in a public memo that “AI is changing how work gets done.” She added, “Our business is changing because the world around it is changing. The way technology is built, deployed, and used is transforming faster than at any point in my time here.”

The spotlight is now shining bright on Microsoft as the company sets out to revamp its workforce. On the heels of the major changes, investment banking firm BMO Capital maintained its buy rating for MSFT. They sent a note to clients urging them to take an entry position in Microsoft stock. The firm remains bullish on MSFT’s prospects and predicts a bigger target for the software titan. This makes MSFT a must-watch equity, as Wall Street firms are confident of a major price uptick.

Also Read: Micron Stock Gains 4.4% In Pre-Market Despite US-Iran War

What is BMO Capital’s Price Prediction For Microsoft Stock (MSFT)?

Keith Bachman, the stock analyst at BMO Capital, predicts Microsoft stock to reach a high of $500 next. That’s a profit of close to $117 per share and an uptick and return on investment (ROI) of approximately 31% from its current price of $383. Therefore, an investment of $1,000 could turn into $1,310 if the price prediction turns out to be accurate.

However, BMO Capital has cut its MSFT price forecast by $15 in its July prediction. The firm’s previous target for Microsoft stock was $515, and it has reduced the target to $500. This is still a bullish thesis, as the upward momentum is immense with double-digit gains. Taking an entry position now or buying the dips in MSFT can prove to be beneficial for traders.