22,313 Shares of Microsoft Corporation $MSFT Bought by Sonoma Private Wealth LLC

Key Points

• Sonoma Private Wealth LLC acquired 22,313 Microsoft shares worth approximately $8.3 million in the second quarter, making Microsoft its second-largest holding. Institutional investors collectively own 71.13% of the stock.
• Microsoft reported a strong quarter, with revenue up 17.7% year over year to $90.01 billion and adjusted EPS of $4.74, exceeding analyst expectations. The company also raised its quarterly dividend to $0.98 per share.
• Analyst sentiment remains broadly positive, with 43 Buy ratings and a consensus “Moderate Buy” rating alongside an average price target of $590.30, although some analysts have raised concerns about heavy AI capital spending and valuation risks.

Sonoma Private Wealth LLC acquired a new stake in Microsoft Corporation (NASDAQ:MSFT - Free Report) in the 2nd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor acquired 22,313 shares of the software giant's stock, valued at approximately $8,323,000. Microsoft accounts for about 8.9% of Sonoma Private Wealth LLC's holdings, making the stock its 2nd biggest holding.

Several other institutional investors and hedge funds also recently made changes to their positions in the company. Frankly Finances LLC acquired a new position in Microsoft in the 2nd quarter valued at approximately $35,000. Bard Associates Inc. acquired a new position in shares of Microsoft during the second quarter worth $37,000. PMV Capital Advisers LLC acquired a new position in shares of Microsoft during the second quarter worth $38,000. Fiduciary Advisors Inc. lifted its holdings in shares of Microsoft by 37.4% during the second quarter. Fiduciary Advisors Inc. now owns 125 shares of the software giant's stock worth $47,000 after purchasing an additional 34 shares during the period. Finally, Persistent Asset Partners Ltd bought a new stake in shares of Microsoft in the second quarter worth $60,000. Institutional investors and hedge funds own 71.13% of the company's stock.

Insiders Place Their Bets

In other Microsoft news, CEO Satya Nadella sold 86,525 shares of the stock in a transaction that occurred on Tuesday, September 1st. The stock was 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. This represents a 15.09% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Amy Hood sold 41,674 shares of the firm's stock in a transaction that occurred on Monday, September 14th. The stock was sold at an average price of $498.27, for a total transaction of $20,764,903.98. Following the sale, the executive vice president directly owned 533,624 shares of the company's stock, valued at approximately $265,888,830.48. This trade represents a 7.24% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 150,314 shares of company stock valued at $75,404,992 in the last ninety days. 0.03% of the stock is owned by corporate insiders.

Microsoft Stock Performance

MSFT stock opened at $533.52 on Tuesday. The firm has a market cap of $3.96 trillion, a PE ratio of 29.71, a price-to-earnings-growth ratio of 1.70 and a beta of 1.10. The company has a current ratio of 1.23, a quick ratio of 1.22 and a debt-to-equity ratio of 0.07. The stock has a 50-day moving average price of $506.08 and a 200-day moving average price of $442.31. Microsoft Corporation has a 1-year low of $349.20 and a 1-year high of $553.72.

Microsoft (NASDAQ:MSFT - Get Free Report) last announced its earnings results on Wednesday, July 29th. The software giant reported $4.74 EPS for the quarter, beating the consensus estimate of $4.24 by $0.50. Microsoft had a return on equity of 31.98% and a net margin of 40.31%. The company had revenue of $90.01 billion for the quarter, compared to analyst estimates of $87.62 billion. During the same quarter in the prior year, the company earned $3.65 EPS. The firm's revenue for the quarter was up 17.7% compared to the same quarter last year. As a group, equities research analysts expect that Microsoft Corporation will post 19.65 earnings per share for the current year.

Microsoft Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, December 10th. Shareholders of record on Thursday, November 19th will be paid a $0.98 dividend. This represents a $3.92 annualized dividend and a yield of 0.7%. This is a boost from Microsoft's previous quarterly dividend of $0.91. The ex-dividend date of this dividend is Thursday, November 19th. Microsoft's payout ratio is presently 20.27%.

Analyst Upgrades and Downgrades

MSFT has been the subject of a number of recent research reports. Bank of America increased their price objective on Microsoft from $500.00 to $600.00 and gave the company a "buy" rating in a report on Tuesday, September 1st. Raymond James Financial lowered Microsoft from a "moderate buy" rating to a "strong sell" rating in a research report on Wednesday, September 23rd. KeyCorp reaffirmed an "overweight" rating on shares of Microsoft in a report on Thursday, September 3rd. Stifel Nicolaus upgraded Microsoft from a "hold" rating to a "buy" rating and upped their price target for the company from $530.00 to $575.00 in a research report on Tuesday, September 22nd. Finally, Morgan Stanley lowered Microsoft from an "overweight" rating to a "negative" rating in a research report on Monday, October 5th. Forty-three equities research analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $590.30.

More Microsoft News

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Microsoft received a bullish signal ahead of its Oct. 28 earnings report after Bernstein raised its price target to $662 and maintained an “Outperform” rating. Investors are watching Azure growth, commercial remaining performance obligations, and whether Microsoft’s more than $115 billion in recent capital spending is translating into AI revenue. Microsoft Given New Price Target at Sanford C. Bernstein
• Positive Sentiment: The company unveiled its Maia 300 AI accelerator and plans multi-gigawatt deployments beginning next year. The chip could reduce Microsoft’s reliance on Nvidia and lower inference costs, supporting the long-term economics of its AI infrastructure strategy. Microsoft's New AI Chip Could Change the Economics of AI
• Positive Sentiment: Microsoft introduced security controls for enterprise AI agents and emphasized that frontier models can pose insider-threat-like risks. The initiative could strengthen demand for Microsoft’s security products as businesses adopt agentic AI. Microsoft Introduces Security Features for AI Agents
• Positive Sentiment: Analysts continue to view Microsoft as a broad way to monetize AI through Azure, Copilot, software subscriptions, and security. Expectations call for Azure growth of roughly 45%, though capacity constraints could limit near-term upside. Microsoft Earnings Preview
• Neutral Sentiment: Microsoft withdrew as anchor customer from Nscale’s planned U.K. AI data center, reportedly because of electricity-grid and power-supply delays. The decision highlights infrastructure constraints but may also reflect disciplined capital allocation; third-party operators could benefit if hyperscalers build less capacity themselves. Microsoft Pulls Out of U.K. Data Center Deal
• Negative Sentiment: Investors remain concerned that Microsoft’s aggressive AI capital expenditures could pressure free cash flow and margins if Azure monetization does not accelerate. One analyst also said Maia remains well behind Nvidia and Google’s custom chips, limiting its near-term competitive impact. Microsoft AI Bull Case and Valuation Risks

About Microsoft

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.

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