Microsoft shares are looking a bit dented in 2025, but they’re worth buying, according to money manager Nancy Tengler of Laffer Tengler Investments. The firm’s CEO and chief investment officer joined CNBC’s ” Power Lunch ” on Tuesday to offer her take on the “Magnificent Seven” titan, as well as a pair of other market movers. Here’s what Tengler had to say during the “Three-Stock Lunch” segment. Microsoft Microsoft has not been exempt from the broader sell-off plaguing tech megacaps this year. Shares have fallen more than 6% in 2025 and are down nearly 16% since their high from last July. The company’s latest quarterly results are due Wednesday afternoon . Tengler thinks investors may have unduly punished the stock, since Microsoft’s business still seems “pretty robust.” She estimated Microsoft’s revenues will grow between 10% and 11%, while its earnings will increase 10%. “We think that the company is relatively tariff-proof because software seems to be a little bit of a carve out,” she said. “Dividend growth of 10.3%, a great management team — we think you use these periods of weakness to add to the whole thing.” Spotify Shares of Spotify slid more than 3% on Tuesday after the music streaming platform reported first-quarter operating income of 509 million euros, while analysts polled by FactSet had penciled in 519.9 million euros. Spotify’s revenue of 4.2 billion euros was in line with estimates, while its monthly active users of 678 million was also in line with prior guidance. Tengler remains bullish on the name, which she said she has owned “for a long time” and was one of her top ideas for the year. “We think it has plenty of room to run, and that is because management has made really strong decisions around ad-supported growth,” she said. “It’s going to be lumpy, but they have a strong balance sheet, and we think as cash flow improves we will begin to see an attractive capital allocation plan for the benefit of shareholders.” Shares are up about 29% in 2025. AbbVie Finally, Tengler singled out pharmaceutical stock AbbVie , which she said was her largest health-care holding, as another attractive name. Last week, AbbVie reported a first-quarter earnings and revenue beat. The company also raised guidance for full-year earnings per share. Investors may be asking if the stock has run too far, with shares up nearly 20% over the past 12 months. Tengler said the answer is no. For starters, she called out the company’s dividend growth of 7.2% and its robust quarterly report. “They delivered a triple play, which is a beat, beat and a raise,” she said. “They’re well positioned, we think, to replace the HUMIRA revenues with Skyrizi and Rinvoq very, very soon, and we think they’re going to raise estimates on those two names. Then they don’t have any loss of exclusivity anymore for another 10 years.” Tengler added that another one of AbbVie’s benefits is the stock is largely tariff-proof. For instance, she noted that much of the manufacturing for Skyrizi takes place in the U.S.
