Bourne Lent Asset Management Inc. Cuts Stock Position in Microsoft Corporation $MSFT

Key Points

• Bourne Lent Asset Management trimmed its Microsoft stake by 2.4% in the first quarter, selling 1,735 shares and leaving it with 71,738 shares valued at about $26.6 million.
• Microsoft shares were down about 1.2% in the report, with the stock trading at $368.57, well below its 50-day and 200-day moving averages. The company still carries a massive market cap of about $2.74 trillion.
• Despite recent weakness, Microsoft reported strong quarterly results with EPS of $4.27 and revenue of $82.89 billion, both topping estimates. The company also announced a quarterly dividend of $0.91 per share, equal to a 1.0% annual yield.

Bourne Lent Asset Management Inc. trimmed its position in Microsoft Corporation (NASDAQ:MSFT - Free Report) by 2.4% during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 71,738 shares of the software giant's stock after selling 1,735 shares during the quarter. Microsoft accounts for approximately 9.8% of Bourne Lent Asset Management Inc.'s holdings, making the stock its 4th biggest holding. Bourne Lent Asset Management Inc.'s holdings in Microsoft were worth $26,555,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Longfellow Investment Management Co. LLC boosted its holdings in shares of Microsoft by 51.3% during the second quarter. Longfellow Investment Management Co. LLC now owns 59 shares of the software giant's stock worth $29,000 after purchasing an additional 20 shares during the period. Bernzott Capital Advisors bought a new position in Microsoft during the 4th quarter valued at approximately $34,000. Timmons Wealth Management LLC purchased a new stake in Microsoft in the 4th quarter worth approximately $36,000. Fairway Wealth LLC lifted its holdings in Microsoft by 287.0% in the 4th quarter. Fairway Wealth LLC now owns 89 shares of the software giant's stock worth $43,000 after buying an additional 66 shares during the period. Finally, LSV Asset Management bought a new stake in shares of Microsoft in the 4th quarter worth approximately $44,000. 71.13% of the stock is currently owned by institutional investors.

Microsoft Stock Down 1.2%

NASDAQ:MSFT opened at $368.57 on Tuesday. The firm has a market cap of $2.74 trillion, a P/E ratio of 21.94, a P/E/G ratio of 1.34 and a beta of 1.11. The company has a debt-to-equity ratio of 0.08, a quick ratio of 1.27 and a current ratio of 1.28. Microsoft Corporation has a fifty-two week low of $349.20 and a fifty-two week high of $555.45. The firm has a 50-day simple moving average of $409.33 and a two-hundred day simple moving average of $420.11.

Microsoft (NASDAQ:MSFT - Get Free Report) last issued its earnings results on Wednesday, April 29th. The software giant reported $4.27 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.06 by $0.21. Microsoft had a net margin of 39.34% and a return on equity of 31.94%. The firm had revenue of $82.89 billion for the quarter, compared to the consensus estimate of $81.44 billion. During the same quarter in the prior year, the firm posted $3.46 earnings per share. The business's revenue was up 18.3% on a year-over-year basis. Analysts predict that Microsoft Corporation will post 16.76 earnings per share for the current fiscal year.

Microsoft Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Thursday, August 20th will be given a $0.91 dividend. The ex-dividend date of this dividend is Thursday, August 20th. This represents a $3.64 annualized dividend and a yield of 1.0%. Microsoft's dividend payout ratio is 21.67%.

Key Microsoft News

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Some bullish voices argue the selloff has made Microsoft look oversold, with analysts and strategists like Dan Ives calling the pullback a buying opportunity and pointing to Microsoft’s long-term AI and cloud strength. Dan Ives Says the $3 Trillion Tech Wipeout Is a Buying Opportunity. Here’s His Case
• Positive Sentiment: Michael Burry disclosed long-dated call options on Microsoft, a signal that at least one high-profile investor sees significant upside over the next several years. “Big Short” Legend Michael Burry Just Bet Big on Microsoft
• Positive Sentiment: Microsoft also announced new enterprise partnerships, including integrations that expand its cloud, AI, and cybersecurity ecosystem, which supports the long-term growth story. Microsoft (MSFT) Expands Operations With a New Strategic Partnership
• Neutral Sentiment: Several articles frame the stock’s recent weakness as a value-versus-trap debate, reflecting uncertainty rather than a clear new catalyst. Microsoft Stock: Value Trap or Buying Opportunity?
• Neutral Sentiment: Microsoft is also facing fresh regulatory and legal scrutiny, including an EU gatekeeper review, an Italy antitrust probe, and a copyright lawsuit tied to AI training data, which adds headline risk. Microsoft (MSFT) Faces EU Gatekeeper Move And Italy Antitrust Probe
• Negative Sentiment: Brokerage sentiment has also turned more cautious, with Stifel cutting its price target and keeping a Hold rating amid margin concerns. Stifel Lowers PT on Microsoft (MSFT), Maintains a Hold Rating
• Negative Sentiment: Investor lawsuits and class-action notices related to alleged securities fraud and Copilot deficiencies are adding to sentiment pressure around the stock. Deadline Alert: Microsoft Corporation (MSFT) Shareholders Who Lost Money Urged To Contact Glancy Prongay Wolke & Rotter LLP About Securities Fraud Lawsuit

Insider Buying and Selling at Microsoft

In other Microsoft news, EVP Amy Coleman sold 1,262 shares of the stock in a transaction on Thursday, May 14th. The stock was sold at an average price of $411.34, for a total transaction of $519,111.08. Following the sale, the executive vice president directly owned 46,003 shares in the company, valued at approximately $18,922,874.02. This trade represents a 2.67% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Judson Althoff sold 15,500 shares of the business's stock in a transaction on Monday, June 1st. The stock was sold at an average price of $460.99, for a total value of $7,145,345.00. Following the completion of the transaction, the chief executive officer owned 110,477 shares of the company's stock, valued at $50,928,792.23. This represents a 12.30% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 23,762 shares of company stock worth $10,508,361. Insiders own 0.03% of the company's stock.

Wall Street Analysts Forecast Growth

A number of brokerages recently commented on MSFT. Sanford C. Bernstein upped their target price on Microsoft from $641.00 to $646.00 and gave the company an "outperform" rating in a report on Thursday, April 30th. Wedbush reissued an "outperform" rating and set a $575.00 price objective on shares of Microsoft in a research report on Wednesday, May 13th. The Goldman Sachs Group restated a "buy" rating on shares of Microsoft in a report on Thursday, April 30th. Citigroup started coverage on shares of Microsoft in a research report on Monday, June 1st. They issued a "market outperform" rating for the company. Finally, TD Cowen reaffirmed a "buy" rating and set a $540.00 target price on shares of Microsoft in a research note on Thursday, June 4th. Forty-one equities research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. According to MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus target price of $560.86.

Microsoft Company Profile

Microsoft Corporation is a global technology company headquartered in Redmond, Washington. Founded in 1975 by Bill Gates and Paul Allen, Microsoft develops, licenses and supports a broad range of software products, services and devices for consumers, enterprises and governments worldwide. Its operations span personal computing, productivity software, cloud infrastructure, enterprise applications, developer tools and gaming.

Microsoft's product portfolio includes the Windows operating system and the Microsoft 365 suite of productivity and collaboration tools (Office apps, Outlook, Teams).

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