Orion Capital Management LLC Makes New Investment in Microsoft Corporation $MSFT

Orion Capital Management LLC bought a new position in shares of Microsoft Corporation (NASDAQ:MSFT) during the 2nd quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor bought 10,682 shares of the software giant’s stock, valued at approximately $3,985,000. Microsoft makes up about 1.2% of Orion Capital Management LLC’s portfolio, making the stock its 16th biggest position.

Several other institutional investors and hedge funds have also bought and sold shares of MSFT. Frankly Finances LLC acquired a new stake in shares of Microsoft in the 2nd quarter valued at about $35,000. Bard Associates Inc. bought a new stake in Microsoft in the 2nd quarter valued at about $37,000. PMV Capital Advisers LLC acquired a new position in Microsoft during the 2nd quarter worth approximately $38,000. Fiduciary Advisors Inc. raised its stake in Microsoft by 37.4% during the 2nd quarter. Fiduciary Advisors Inc. now owns 125 shares of the software giant’s stock worth $47,000 after buying an additional 34 shares during the period. Finally, Persistent Asset Partners Ltd acquired a new position in Microsoft during the 2nd quarter worth approximately $60,000. 71.13% of the stock is owned by institutional investors.

Key Microsoft News

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Microsoft’s AI diagnostic system reportedly diagnosed complex medical cases more than twice as often as generalist physicians in a simulation published in Science. The result supports the company’s ambitions in healthcare and “medical superintelligence.” Microsoft AI medical diagnostic study
• Positive Sentiment: Reports highlighted strong underlying cloud momentum: Azure annual revenue has surpassed $100 billion, cloud-services growth reached 43%, and Microsoft’s commercial backlog rose to approximately $678 billion. These trends could support the investment case if the company demonstrates continued acceleration in its upcoming earnings report. Microsoft cloud demand and backlog
• Positive Sentiment: CEO Satya Nadella said Microsoft is reorganizing around AI agents, broader model choice and lower-cost computing. The strategy could expand Copilot and Azure adoption across business workflows. Microsoft AI agent strategy
• Positive Sentiment: A strategic collaboration with Boehringer Ingelheim will pursue AI-backed clinical development and digital patient twins, providing another potential application for Microsoft’s cloud and AI platforms. Microsoft and Boehringer Ingelheim partnership
• Neutral Sentiment: Investors are focused on next week’s fiscal first-quarter earnings report. Analysts expect double-digit earnings growth, but the market increasingly wants evidence that Azure growth can keep pace with rivals and justify Microsoft’s substantial AI infrastructure investments. Microsoft earnings preview
• Negative Sentiment: Microsoft’s large AI capital expenditures remain a key valuation risk. While spending may create a long-term competitive moat, investors are concerned that data-center and infrastructure costs could pressure near-term returns, especially amid higher interest rates and market volatility. Microsoft AI spending and investment risk
• Negative Sentiment: Xbox announced pricing for cloud streaming of games users already own, prompting concerns about consumer reaction and pressure on Microsoft’s gaming business. Xbox cloud gaming pricing
• Negative Sentiment: Former CEO Bill Gates warned that AI could bring roughly two decades of disruption, reinforcing investor concerns about an AI investment bubble and the potential for expensive projects to produce uncertain returns. Bill Gates AI disruption comments

Analysts Set New Price Targets

MSFT has been the subject of a number of research reports. Royal Bank Of Canada reissued an “outperform” rating on shares of Microsoft in a research note on Thursday, September 10th. BMO Capital Markets boosted their price objective on Microsoft from $515.00 to $600.00 and gave the company an “outperform” rating in a report on Tuesday. Wolfe Research cut Microsoft from an “outperform” rating to a “hold” rating in a report on Wednesday, September 23rd. DA Davidson reiterated a “buy” rating and issued a $550.00 target price on shares of Microsoft in a report on Thursday, July 30th. Finally, JPMorgan Chase & Co. reissued a “buy” rating on shares of Microsoft in a research report on Monday, September 28th. Forty-three investment analysts have rated the stock with a Buy rating, four have given a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat.com, Microsoft presently has a consensus rating of “Moderate Buy” and a consensus target price of $592.15.

Insider Activity

In related news, EVP Amy Hood sold 41,674 shares of the business’s stock in a transaction dated Monday, September 14th. The shares were sold at an average price of $498.27, for a total transaction of $20,764,903.98. Following the transaction, the executive vice president directly owned 533,624 shares in the company, valued at approximately $265,888,830.48. The trade was a 7.24% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Takeshi Numoto sold 4,810 shares of the company’s stock in a transaction dated Tuesday, August 4th. The stock was sold at an average price of $496.48, for a total transaction of $2,388,068.80. Following the completion of the sale, the executive vice president directly owned 42,677 shares of the company’s stock, valued at $21,188,276.96. The trade was a 10.13% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 150,314 shares of company stock valued at $75,404,992 over the last ninety days. Company insiders own 0.03% of the company’s stock.

Microsoft Trading Down 2.2%

Shares of Microsoft stock opened at $521.08 on Friday. The company has a market capitalization of $3.87 trillion, a P/E ratio of 29.01, a price-to-earnings-growth ratio of 1.71 and a beta of 1.10. The stock has a fifty day simple moving average of $507.93 and a 200 day simple moving average of $445.62. Microsoft Corporation has a 12-month low of $349.20 and a 12-month high of $553.72. The company has a current ratio of 1.23, a quick ratio of 1.22 and a debt-to-equity ratio of 0.07.

Microsoft (NASDAQ:MSFT) last posted its quarterly earnings data on Wednesday, July 29th. The software giant reported $4.74 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $4.24 by $0.50. Microsoft had a net margin of 40.31% and a return on equity of 31.98%. The firm had revenue of $90.01 billion for the quarter, compared to the consensus estimate of $87.62 billion. During the same period in the previous year, the firm earned $3.65 EPS. The business’s revenue for the quarter was up 17.7% compared to the same quarter last year. On average, sell-side analysts anticipate that Microsoft Corporation will post 19.65 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 given a dividend of $0.98 per share. The ex-dividend date of this dividend is Thursday, November 19th. This is an increase from Microsoft’s previous quarterly dividend of $0.91. This represents a $3.92 dividend on an annualized basis and a dividend yield of 0.8%. Microsoft’s payout ratio is 20.27%.

Microsoft Profile

Microsoft Corporation (NASDAQ:MSFT) is a global technology company that develops software, cloud services, devices and digital platforms. Its products and services are used by consumers, businesses, governments and educational institutions worldwide.

The company’s principal offerings include the Windows operating system; Microsoft 365 productivity applications such as Word, Excel, Teams and Outlook; Azure cloud computing and infrastructure services; Dynamics business applications; and enterprise security solutions.