Microsoft Corporation $MSFT Stake Lessened by Professional Advisory Services Inc.

Professional Advisory Services Inc. lessened its stake in shares of Microsoft Corporation (NASDAQ:MSFT) by 13.7% during the third quarter, Holdings Channel.com reports. The fund owned 79,907 shares of the software giant’s stock after selling 12,732 shares during the period. Microsoft accounts for about 4.8% of Professional Advisory Services Inc.’s holdings, making the stock its 3rd biggest holding. Professional Advisory Services Inc.’s holdings in Microsoft were worth $40,984,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently added to or reduced their stakes in MSFT. State Street Corp lifted its holdings in shares of Microsoft by 2.9% in the second quarter. State Street Corp now owns 315,653,206 shares of the software giant’s stock valued at $117,744,959,000 after buying an additional 8,944,917 shares during the period. Bank of America Corp DE bought a new position in Microsoft during the second quarter valued at about $27,338,370,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its stake in Microsoft by 0.9% during the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 64,375,360 shares of the software giant’s stock valued at $24,013,297,000 after buying an additional 543,172 shares in the last quarter. Legal & General Group Plc acquired a new position in Microsoft during the second quarter worth about $18,306,443,000. Finally, Amundi grew its holdings in Microsoft by 12.0% during the second quarter. Amundi now owns 46,694,778 shares of the software giant’s stock worth $17,418,076,000 after acquiring an additional 5,019,702 shares during the period. Institutional investors own 71.13% of the company’s stock.

Analyst Ratings Changes

Several brokerages have commented on MSFT. Needham & Company LLC initiated coverage on shares of Microsoft in a research report on Wednesday, September 23rd. They issued a “buy” rating on the stock. CLSA restated an “outperform” rating on shares of Microsoft in a research report on Thursday, July 30th. Morgan Stanley reaffirmed an “overweight” rating on shares of Microsoft in a research note on Thursday, October 29th. Scotiabank lifted their price objective on shares of Microsoft from $625.00 to $650.00 and gave the stock a “sector outperform” rating in a research note on Thursday, October 29th. Finally, Piper Sandler reiterated an “overweight” rating and issued a $650.00 target price (up from $610.00) on shares of Microsoft in a report on Thursday, October 29th. One equities research analyst has rated the stock with a Strong Buy rating, forty-six have assigned a Buy rating and four have assigned a Hold rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $609.54.

Key Microsoft News

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Microsoft and IBM introduced Imagine Enterprise, a platform combining IBM’s library of more than 6,000 AI agents with Microsoft’s cloud, data and security tools. The partnership could help drive enterprise demand for Microsoft’s AI and cloud services. IBM and Microsoft Announce a New AI Agent Platform Designed for Industry-Specific Transformation
• Positive Sentiment: A five-year partnership with Ohio State University will apply Microsoft’s cloud and AI technology to healthcare, research and education, adding another potential customer and use case. Ohio State and Microsoft announce five-year strategic partnership
• Neutral Sentiment: Microsoft reportedly urged the administration to drop a proposed ban on Chinese data-center technology, warning that restrictions could complicate data-center deployment. The outcome could affect equipment access and rollout timing. Microsoft presses Trump to scuttle expected ban on Chinese data-center technology
• Negative Sentiment: Anthropic unveiled workplace tools that could compete with Microsoft Office, including spreadsheet-related capabilities. The move raised concerns about competition in Microsoft’s enterprise software business. Anthropic unveils office suite to challenge Microsoft
• Negative Sentiment: A hot inflation report and rising bond yields weighed on the broader market, creating an additional headwind for technology shares. Stock market coverage on inflation and technology shares

Microsoft Stock Performance

Shares of NASDAQ MSFT opened at $533.16 on Wednesday. The business’s 50-day moving average price is $517.80 and its two-hundred day moving average price is $441.10. The company has a debt-to-equity ratio of 0.07, a current ratio of 1.22 and a quick ratio of 1.21. Microsoft Corporation has a one year low of $349.20 and a one year high of $559.15. The company has a market capitalization of $3.96 trillion, a P/E ratio of 27.83, a price-to-earnings-growth ratio of 1.61 and a beta of 1.05.

Microsoft (NASDAQ:MSFT) last issued its earnings results on Wednesday, October 28th. The software giant reported $4.89 earnings per share for the quarter, topping the consensus estimate of $4.72 by $0.17. Microsoft had a return on equity of 31.28% and a net margin of 41.17%. The company had revenue of $92.28 billion for the quarter, compared to analyst estimates of $90.62 billion. During the same period in the prior year, the firm posted $4.13 EPS. The business’s revenue was up 18.8% compared to the same quarter last year. Analysts anticipate that Microsoft Corporation will post 19.87 earnings per share for the current fiscal year.

Microsoft Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, December 10th. Investors of record on Thursday, November 19th will be paid a $0.98 dividend. This represents a $3.92 annualized dividend and a dividend yield of 0.7%. The ex-dividend date of this dividend is Thursday, November 19th. This is a positive change from Microsoft’s previous quarterly dividend of $0.91. Microsoft’s dividend payout ratio (DPR) is presently 19.00%.

Insider Activity at Microsoft

In related news, EVP Amy Hood sold 7,305 shares of the stock in a transaction that occurred on Monday, November 9th. The stock was sold at an average price of $544.37, for a total value of $3,976,622.85. Following the transaction, the executive vice president owned 548,091 shares in the company, valued at approximately $298,364,297.67. This represents a 1.32% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Satya Nadella sold 86,525 shares of the firm’s stock in a transaction that occurred on Tuesday, September 1st. The shares were sold at an average price of $501.46, for a total transaction of $43,388,826.50. Following the transaction, the chief executive officer directly owned 486,763 shares in the company, valued at approximately $244,092,173.98. The trade was a 15.09% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 142,809 shares of company stock valued at $72,114,646. 0.03% of the stock is currently owned by company insiders.

Microsoft Profile

Microsoft Corporation is a global technology company that develops software, cloud services, devices, and digital solutions for consumers, businesses, and public-sector organizations. Founded in 1975 by Bill Gates and Paul Allen, the company is headquartered in Redmond, Washington. Its products and services include the Windows operating system, Microsoft 365 productivity applications, Azure cloud computing, LinkedIn, GitHub, Surface devices, and Xbox gaming products and services. Microsoft also provides business software, cybersecurity tools, and artificial intelligence technologies.