Wells Fargo raised its Microsoft price target to $700 from $650 on Aug. 12 and maintained its overweight rating, arguing that cheaper open models, broader use of hybrid AI setups and the rising terminal value of the current platform support a higher P/E. The new target is well above FactSet's average analyst target of $568.49, while the consensus rating is Buy, highlighting Wells Fargo's stronger conviction that Microsoft's investments in OpenAI, Copilot and Azure AI services, together with solid enterprise software performance, can deliver the earnings growth or valuation expansion needed to justify further upside even as investors debate returns on heavy AI infrastructure spending and a more competitive software market.