What did Trump’s SOTU energy push say and why does it matter for MSFT?

Coverage highlighted a push for data centers to produce their own electricity. For MSFT, that could mean more onsite generation or long-term power deals. The shift may raise capex near term, but can lower operating costs later. It also affects AI build-out timelines, grid exposure, and margin planning.

Is MSFT stock today expensive on valuation?

MSFT stock today trades near 25x TTM earnings, with strong ROE at 33.6% and net margin near 39.0%. Balance sheet strength and dividend support quality. Valuation looks fair for a premium franchise investing in AI and cloud. Entry timing depends on policy clarity and improving technical momentum.

How could self-powered data centers change hyperscaler capex?

Self-power models add upfront costs for generation, storage, and interconnection. MSFT’s baseline shows capex at 27.2% of revenue and 51.8% of operating cash flow. Additional spend could briefly pressure free cash flow, but firm, lower-cost power may improve long-run unit economics for AI workloads and reduce outage risk.

What should Indian investors track next regarding MSFT and data center power?

Watch MSFT’s earnings on 29 April 2026 for power strategy updates, including PPAs or energy partnerships. In India, monitor firm renewable supply announcements for data centers, state-level open-access rules, and utility tariff changes. Also track AI capacity additions that depend on reliable 24x7 power availability.

Law and Government

MSFT Stock Today: February 26 – SOTU Push for Self-Powered Data Centers

ByDanny Kontos February 26, 2026February 26, 2026

MSFT stock today sits at the center of a policy story. Trump’s State of the Union urged data center companies to produce their own electricity. That could lift hyperscaler capex, change utility demand, and affect AI build-out timelines. For Indian investors, we break down what this means for MSFT, the balance between opex and capex, and near-term trading signals. We also map potential knock-on effects for India’s fast-growing data center clusters and listed power suppliers.