Microsoft, Alphabet Cry Poor Right Before Making $32.8 Billion

Layoff announcements from Microsoft ( MSFT ) and Alphabet ( GOOGL ), along with their tumbling stock prices, make it seem like giant tech S&P 500 companies are in dire straits. But they’re on the verge of making billions — in just one quarter. Microsoft Tuesday kicks off fourth-quarter earnings reports for the big-cap techs. The announcement comes just days after Microsoft announced plans to cut 10,000 jobs and news that Alphabet (technically in the S&P 500 communication services sector) is taking out 12,000 positions . "We’re … seeing organizations in every industry and geography exercise caution as some parts of the world are in a recession and other parts are anticipating one," Microsoft CEO Satya Nadella wrote in a letter to employees announcing the layoff. Amazingly, though, the job cutting is happening just as Microsoft and Alphabet get set to report making a combined $32.8 billion in the fourth quarter of 2022, according to analyst expectations. Microsoft and Alphabet will likely be two of the three most profitable companies in the S&P 500 during the quarter. Business is still strong, but just stretched out a bit. "Software companies are calling out the more difficult macro environment. What is […]

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