Microsoft is reporting Q4 earnings on Thursday. We are looking for a 1-2% growth on the top and bottom line, explains Saxo Bank head of equity strategy Peter Garnry.

The cloud segment is the underlying growth engine, Garnry adds.

The last 4-5 quarterly earnings have produced volatility due to a uncertain outlook for Microsoft's other divisions.

Long-term investors may focus on the firm’s cloud business as Microsoft’s most important future direction, Garnry concludes.