Altman Advisors Inc. Acquires New Holdings in Microsoft Corporation $MSFT

Key Points

• Altman Advisors acquired 17,153 Microsoft shares worth approximately $6.4 million in the second quarter, making Microsoft its eighth-largest holding and representing about 2.3% of its portfolio. Institutional investors own 71.13% of Microsoft’s outstanding stock.
• Microsoft reported quarterly earnings of $4.74 per share and revenue of $90.01 billion, exceeding analyst expectations, while revenue increased 17.7% year over year. The company also raised its quarterly dividend to $0.98 per share, or $3.92 annually.
• Analysts maintain a generally positive view, with 42 Buy ratings and a consensus “Moderate Buy” rating alongside an average price target of $579.84. However, elevated valuation, heavy AI infrastructure spending, regulatory concerns and recent insider stock sales remain risks.

Altman Advisors Inc. acquired a new position in shares of Microsoft Corporation (NASDAQ:MSFT - Free Report) in the 2nd quarter, according to its most recent filing with the Securities & Exchange Commission. The fund acquired 17,153 shares of the software giant's stock, valued at approximately $6,398,000. Microsoft accounts for about 2.3% of Altman Advisors Inc.'s holdings, making the stock its 8th largest position.

A number of other institutional investors and hedge funds have also added to or reduced their stakes in the business. Clay Northam Wealth Management LLC acquired a new stake in Microsoft in the 2nd quarter valued at approximately $5,298,000. Jupiter Wealth Management LLC bought a new stake in Microsoft during the 2nd quarter valued at $13,152,000. Glaxis Capital Management LLC bought a new stake in Microsoft during the 2nd quarter valued at $970,000. Vise Technologies Inc. acquired a new position in Microsoft during the 2nd quarter worth $140,253,000. Finally, OVERSEA CHINESE BANKING Corp Ltd acquired a new position in Microsoft during the 2nd quarter worth $5,121,000. 71.13% of the stock is owned by institutional investors.

Microsoft Stock Performance

Shares of NASDAQ MSFT opened at $541.15 on Tuesday. The stock has a fifty day moving average price of $502.22 and a two-hundred day moving average price of $436.28. The company has a debt-to-equity ratio of 0.07, a quick ratio of 1.22 and a current ratio of 1.23. The firm has a market cap of $4.02 trillion, a P/E ratio of 30.13, a PEG ratio of 1.72 and a beta of 1.10. 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 posted its quarterly earnings data on Wednesday, July 29th. The software giant reported $4.74 EPS for the quarter, topping analysts' consensus estimates 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 the consensus estimate of $87.62 billion. During the same quarter in the previous year, the business earned $3.65 EPS. The company's quarterly revenue was up 17.7% compared to the same quarter last year. Research analysts forecast that Microsoft Corporation will post 19.65 EPS for the current fiscal year.

Microsoft Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, December 10th. Investors of record on Thursday, November 19th will be paid a dividend of $0.98 per share. This is an increase from Microsoft's previous quarterly dividend of $0.91. This represents a $3.92 annualized dividend and a yield of 0.7%. The ex-dividend date of this dividend is Thursday, November 19th. Microsoft's dividend payout ratio (DPR) is 20.27%.

Key Microsoft News

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Maia 300 AI chip is the key catalyst. Microsoft unveiled its third-generation Maia 300 processor and plans to begin production deployments in 2027, eventually scaling the platform to multiple gigawatts and potentially as many as one million chips. The company says Maia 300 can deliver approximately 40% more AI-generated tokens per megawatt or dollar than leading GPU-based systems, which could lower Azure costs and improve margins. Microsoft reveals Maia 300 AI chip
• Positive Sentiment: Greater control over AI supply and economics. Microsoft intends to make Maia a primary architecture for AI inference while continuing to use chips from Nvidia, AMD and Intel. Investors viewed the strategy as a way to reduce dependence on expensive, supply-constrained Nvidia hardware and strengthen Azure’s competitive position. Microsoft to rely more on homegrown AI chips
• Positive Sentiment: Underlying growth remains strong. Recent coverage points to Azure growth guidance of 44%–45%, rising Copilot adoption, a record backlog and more than $50 billion in quarterly capital spending to meet AI demand. These trends reinforce the bullish long-term case, although the October 28 earnings report will test whether growth remains above investor expectations.
• Neutral Sentiment: AI safety and infrastructure constraints remain in focus. CEO Satya Nadella and President Brad Smith called for stronger safeguards, emergency controls and clearer AI regulation. Separately, industry leaders highlighted electricity and cooling capacity as potential limits on AI expansion. These issues may increase compliance and infrastructure costs but could also benefit Microsoft’s enterprise-focused approach.
• Negative Sentiment: Regulatory and legal risks increased. The U.S. suspended Microsoft from the PERM green-card program amid scrutiny of its H-1B hiring practices, potentially complicating access to technical talent. Norway also fined Microsoft subsidiary Xandr approximately €8.6 million for sharing Grindr user data. Microsoft PERM suspension
• Negative Sentiment: Valuation and execution risks persist. Some analysts downgraded Microsoft amid concerns about elevated AI capital spending, high expectations and the need for Azure growth to remain above 40%. The departure of longtime science president Peter Lee is an additional, though relatively minor, leadership concern.

Insider Transactions at Microsoft

In other Microsoft news, CEO Satya Nadella sold 86,525 shares of the company's stock in a transaction dated Tuesday, September 1st. The shares were sold at an average price of $501.46, for a total value of $43,388,826.50. Following the completion of the sale, the chief executive officer directly owned 486,763 shares of the company's stock, valued at approximately $244,092,173.98. This represents a 15.09% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Judson Althoff sold 10,000 shares of the company's stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $487.89, for a total transaction of $4,878,900.00. Following the completion of the sale, the chief executive officer directly owned 100,447 shares of the company's stock, valued at $49,007,086.83. The trade was a 9.05% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 143,009 shares of company stock valued at $71,420,699 in the last three months. 0.03% of the stock is currently owned by insiders.

Analysts Set New Price Targets

Several research firms have recently issued reports on MSFT. KeyCorp reissued an "overweight" rating on shares of Microsoft in a research note on Thursday, September 3rd. Scotiabank lifted their price objective on shares of Microsoft from $510.00 to $615.00 and gave the company an "outperform" rating in a research note on Monday, October 5th. Wolfe Research downgraded shares of Microsoft from an "outperform" rating to a "hold" rating in a report on Wednesday, September 23rd. Jefferies Financial Group started coverage on shares of Microsoft in a report on Monday, October 5th. They issued a "buy" rating for the company. Finally, Citigroup upgraded shares of Microsoft from a "market outperform" rating to a "buy" rating in a research report on Monday, October 5th. Forty-two research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat, Microsoft presently has a consensus rating of "Moderate Buy" and an average price target of $579.84.

About Microsoft

Microsoft Corporation is a global technology company that develops software, cloud services, devices, gaming products and business solutions. Founded in 1975 by Bill Gates and Paul Allen, the company is best known for the Windows operating system and Microsoft Office productivity software. Microsoft is headquartered in Redmond, Washington, and serves consumers, businesses, governments and educational institutions worldwide.

Microsoft's productivity and business offerings include Microsoft 365 applications such as Word, Excel, PowerPoint and Outlook, along with collaboration tools including Teams.

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