On Friday, Microsoft’s stock took a slight dip, falling by 1% during trading hours. The stock’s price dropped as low as $366.89 and settled at $367.78 by the end of the day. Around 20.9 million shares were exchanged, a decrease of 2% from the average trading volume of 21.3 million shares. The stock had closed at $371.61 on the previous day.
Analyst Ratings: Mixed Views on Microsoft
Several analysts have recently adjusted their ratings for Microsoft, adding to the current buzz around the stock:
- Loop Capital raised their price target for Microsoft from $500.00 to $550.00, maintaining a “buy” rating.
- Westpark Capital began coverage on Microsoft with a hold rating in early April.
- KeyCorp reaffirmed a sector weight rating.
- StockNews.com downgraded the stock from buy to hold in late February.
- Jefferies Financial Group also maintained a buy rating, though their target price decreased from $500.00 to $475.00.
The stock now holds an average “Moderate Buy” rating from analysts, with an average target price of $499.97.
Performance Overview
Microsoft’s 50-day moving average sits at $388.25, while the 200-day moving average is at $412.73. The company boasts a market capitalization of $2.73 trillion. The current P/E ratio is 29.61, with a price-to-earnings-growth ratio of 2.21 and a beta of 1.00.
In its latest earnings report on January 29, Microsoft announced earnings per share (EPS) of $3.23, surpassing the analysts’ expectations of $3.15. This result showed a year-on-year improvement from the previous quarter’s $2.93 EPS. Analysts predict Microsoft will report $13.08 EPS for the current year.
Dividend Announcement
Microsoft also announced a quarterly dividend of $0.83 per share, payable on June 12. Shareholders of record on May 15 will receive this dividend. This annualizes to $3.32 per share, reflecting a dividend yield of 0.90%. Microsoft’s dividend payout ratio stands at 26.73%.
Institutional Investors’ Activity
Institutional investors continue to show strong interest in Microsoft. Notable movements include:
- Ball & Co Wealth Management acquiring a new position valued at $31,000 in the fourth quarter.
- Fiduciary Advisors purchasing new shares worth about $38,000.
- IFS Advisors LLC increased their stake by 53.8%, bringing their total holding to 100 shares worth $42,000.
- Avondale Wealth Management increased its stake by an impressive 144.4%, now owning 110 shares valued at $46,000.
In total, 71.13% of Microsoft shares are held by hedge funds and institutional investors.
Microsoft: A Global Software Giant
Microsoft continues to lead in the software, services, and device industries, with a focus on productivity tools such as Microsoft 365, Teams and SharePoint. The company also offers a variety of cloud-based services and solutions for businesses and consumers alike.
