Microsoft (NASDAQ:MSFT) Shares Down 3.4%

Shares of Microsoft Co. (NASDAQ:MSFT) traded down 3.4% on Monday . The company traded as low as $385.70 and last traded at $394.70. 13,539,316 shares traded hands during mid-day trading, a decline of 35% from the average session volume of 20,873,373 shares. The stock had previously closed at $408.49.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently issued reports on the stock. TD Cowen upped their price target on shares of Microsoft from $470.00 to $495.00 and gave the company a “buy” rating in a research note on Thursday, July 18th. Royal Bank of Canada reiterated an “outperform” rating and issued a $500.00 price target on shares of Microsoft in a research report on Wednesday, July 31st. Morgan Stanley decreased their price objective on Microsoft from $520.00 to $506.00 and set an “overweight” rating on the stock in a research report on Wednesday, July 31st. Wells Fargo & Company lifted their target price on Microsoft from $500.00 to $515.00 and gave the stock an “overweight” rating in a report on Wednesday, July 31st. Finally, BMO Capital Markets increased their price target on Microsoft from $465.00 to $500.00 and gave the company an “outperform” rating in a report on Friday, July 12th. Three equities research analysts have rated the stock with a hold rating and thirty-three have issued a buy rating to the company. According to data from MarketBeat.com, Microsoft presently has a consensus rating of “Moderate Buy” and an average price target of $487.33.

Microsoft Price Performance

The firm has a market capitalization of $2.93 trillion, a P/E ratio of 34.17, a P/E/G ratio of 2.11 and a beta of 0.90. The stock’s fifty day simple moving average is $439.56 and its 200 day simple moving average is $421.99. The company has a debt-to-equity ratio of 0.16, a current ratio of 1.27 and a quick ratio of 1.23.

Microsoft (NASDAQ:MSFT) last posted its quarterly earnings data on Tuesday, July 30th. The software giant reported $2.95 EPS for the quarter, topping the consensus estimate of $2.90 by $0.05. The firm had revenue of $64.73 billion during the quarter, compared to analyst estimates of $64.38 billion. Microsoft had a net margin of 35.96% and a return on equity of 35.95%. Microsoft’s revenue was up 15.2% on a year-over-year basis. During the same quarter in the previous year, the business posted $2.69 EPS. On average, equities research analysts predict that Microsoft Co. will post 13.04 EPS for the current year.

Microsoft Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, September 12th. Investors of record on Thursday, August 15th will be given a $0.75 dividend. This represents a $3.00 annualized dividend and a dividend yield of 0.76%. The ex-dividend date is Thursday, August 15th. Microsoft’s payout ratio is currently 25.97%.

Insiders Place Their Bets

In related news, CMO Takeshi Numoto sold 244 shares of the company’s stock in a transaction on Monday, June 3rd. The stock was sold at an average price of $415.53, for a total value of $101,389.32. Following the transaction, the chief marketing officer now directly owns 47,011 shares of the company’s stock, valued at approximately $19,534,480.83. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. In other news, EVP Judson Althoff sold 25,000 shares of the stock in a transaction on Thursday, May 23rd. The shares were sold at an average price of $425.68, for a total value of $10,642,000.00. Following the sale, the executive vice president now owns 104,949 shares in the company, valued at $44,674,690.32. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CMO Takeshi Numoto sold 244 shares of the business’s stock in a transaction on Monday, June 3rd. The shares were sold at an average price of $415.53, for a total transaction of $101,389.32. Following the transaction, the chief marketing officer now owns 47,011 shares of the company’s stock, valued at $19,534,480.83. The disclosure for this sale can be found here. In the last quarter, insiders have sold 25,566 shares of company stock valued at $10,877,535. Insiders own 0.03% of the company’s stock.

Hedge Funds Weigh In On Microsoft

A number of institutional investors have recently modified their holdings of the stock. Christopher J. Hasenberg Inc grew its position in Microsoft by 169.2% during the second quarter. Christopher J. Hasenberg Inc now owns 70 shares of the software giant’s stock valued at $31,000 after buying an additional 44 shares during the period. Friedenthal Financial acquired a new stake in shares of Microsoft during the 4th quarter valued at about $45,000. Richardson Capital Management LLC increased its stake in shares of Microsoft by 1,290.0% in the 1st quarter. Richardson Capital Management LLC now owns 139 shares of the software giant’s stock valued at $59,000 after purchasing an additional 129 shares in the last quarter. Neo Ivy Capital Management acquired a new position in Microsoft in the 4th quarter worth about $58,000. Finally, Innealta Capital LLC purchased a new position in Microsoft during the second quarter worth approximately $75,000. Hedge funds and other institutional investors own 71.13% of the company’s stock.

Microsoft Company Profile

Microsoft Corporation develops and supports software, services, devices and solutions worldwide. The Productivity and Business Processes segment offers office, exchange, SharePoint, Microsoft Teams, office 365 Security and Compliance, Microsoft viva, and Microsoft 365 copilot; and office consumer services, such as Microsoft 365 consumer subscriptions, Office licensed on-premises, and other office services.