In early trading, Microsoft's stock price took a nosedive, plummeting by 10.3%. This sharp drop has the potential to be the company's most significant one-day decline since March 2020.

This situation arises against the backdrop of Microsoft's record-shattering investments in the artificial intelligence (AI) field. The company's capital expenditures have soared by nearly 66% on a year-on-year basis, reaching a staggering $37.5 billion, far exceeding market expectations. In the business world, especially in the tech sector, such massive investments are often seen as a bold move to secure a leading position in the highly competitive AI race. However, they also come with risks.

At the same time, the growth momentum in Microsoft's cloud computing business is showing signs of weakening. Cloud computing has been a major profit driver for Microsoft in recent years. But now, with the slowdown in growth, investors are becoming increasingly worried about the company's profit margins. Profit margins are a key indicator of a company's financial health and profitability, and any decline in this area can trigger concerns among investors, leading to a sell-off of stocks, as we are witnessing in Microsoft's case.