Capital Analysts LLC Purchases 7,891 Shares of Microsoft Corporation $MSFT

Key Points

• Capital Analysts LLC increased its Microsoft stake by 6.4% in the second quarter, buying 7,891 shares to hold 130,483 shares worth about $48.7 million.
• Microsoft beat quarterly earnings expectations, reporting $4.89 in EPS and $92.28 billion in revenue; revenue rose 18.8% year over year.
• Analysts’ consensus rating is Moderate Buy, with an average price target of $609.54. Microsoft also raised its quarterly dividend from $0.91 to $0.98 per share.

Capital Analysts LLC raised its holdings in shares of Microsoft Corporation (NASDAQ:MSFT - Free Report) by 6.4% in the 2nd quarter, according to its most recent filing with the Securities & Exchange Commission. The institutional investor owned 130,483 shares of the software giant's stock after acquiring an additional 7,891 shares during the quarter. Microsoft makes up approximately 1.1% of Capital Analysts LLC's holdings, making the stock its 16th biggest position. Capital Analysts LLC's holdings in Microsoft were worth $48,673,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds also recently made changes to their positions in the stock. Donaldson Capital Management LLC lifted its stake in Microsoft by 3.3% in the second quarter. Donaldson Capital Management LLC now owns 286,452 shares of the software giant's stock valued at $106,852,000 after acquiring an additional 9,111 shares during the last quarter. Innovative Asset Advisors Group LLC grew its position in shares of Microsoft by 5.4% in the second quarter. Innovative Asset Advisors Group LLC now owns 18,452 shares of the software giant's stock valued at $6,883,000 after purchasing an additional 950 shares during the last quarter. RPg Family Wealth Advisory LLC grew its holdings in Microsoft by 49.8% in the 2nd quarter. RPg Family Wealth Advisory LLC now owns 33,820 shares of the software giant's stock valued at $12,616,000 after buying an additional 11,242 shares in the last quarter. AlTi Global Inc. grew its stake in shares of Microsoft by 0.3% in the second quarter. AlTi Global Inc. now owns 90,145 shares of the software giant's stock valued at $33,626,000 after acquiring an additional 291 shares in the last quarter. Finally, NorthStar Asset Management LLC NJ increased its holdings in shares of Microsoft by 1.6% during the second quarter. NorthStar Asset Management LLC NJ now owns 7,913 shares of the software giant's stock worth $2,952,000 after purchasing an additional 121 shares during the period. Institutional investors own 71.13% of the company's stock.

Trending Headlines about Microsoft

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Azure’s reported 48% growth helped lift Microsoft amid an AI-related tech rebound. Commentary also points to AI demand exceeding available capacity and argues Microsoft can fund its expansion from strong cash flow—an advantage as investors scrutinize rivals’ borrowing and spending. Article: What's Going on with Microsoft Stock on Tuesday? Article: Why Microsoft Was Rewarded for Spending Less on AI
• Positive Sentiment: Microsoft’s AI tools may reach a broader base of PC users: the company says AI can run on a computer with 8GB of memory, potentially supporting adoption of Copilot and related services. Article: AI on an 8GB PC? Yes, Says Microsoft
• Neutral Sentiment: Xbox’s reveal of a new Elder Scrolls title drew attention to Microsoft’s gaming business, but the article provides no indication of near-term financial impact. Article: Microsoft Stock Rises After The Elder Scrolls VI: Sentinel Reveal
• Negative Sentiment: A Seeking Alpha contributor downgraded Microsoft, arguing that the easiest gains may be behind the stock—an assessment that could temper expectations after its recent strength. Article: Microsoft: The Easy Gains Are Already Over (Downgrade)
• Negative Sentiment: Microsoft’s reported $45.2 billion in quarterly capital spending, largely for AI, underscores the risk that infrastructure costs could weigh on cash flow before returns fully materialize. Reports of buyouts offered to roughly 60,000 employees may also prompt questions about workforce changes. Article: 5 questions to ask if your boss offers you a buyout

Analyst Ratings Changes

MSFT has been the topic of a number of recent analyst reports. KeyCorp set a $625.00 price target on Microsoft in a research report on Thursday, October 29th. Weiss Ratings upgraded Microsoft from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Thursday, October 8th. BMO Capital Markets set a $610.00 price target on shares of Microsoft in a research report on Thursday, October 29th. Stifel Nicolaus raised their price objective on Microsoft from $575.00 to $650.00 and gave the stock a "buy" rating in a research report on Thursday, October 29th. Finally, UBS Group set a $700.00 target price on shares of Microsoft in a report on Thursday, October 29th. One investment analyst has rated the stock with a Strong Buy rating, forty-five have given a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $609.54.

Microsoft Trading Up 2.7%

MSFT opened at $520.99 on Wednesday. Microsoft Corporation has a fifty-two week low of $349.20 and a fifty-two week high of $551.15. The firm has a market capitalization of $3.87 trillion, a PE ratio of 27.19, a P/E/G ratio of 1.56 and a beta of 1.05. The company has a debt-to-equity ratio of 0.07, a current ratio of 1.22 and a quick ratio of 1.21. The company's 50-day moving average is $514.06 and its 200 day moving average is $438.92.

Microsoft (NASDAQ:MSFT - Get Free Report) last released its quarterly earnings results on Wednesday, October 28th. The software giant reported $4.89 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $4.72 by $0.17. The business had revenue of $92.28 billion during the quarter, compared to the consensus estimate of $90.62 billion. Microsoft had a return on equity of 31.28% and a net margin of 41.17%. The company's quarterly revenue was up 18.8% on a year-over-year basis. During the same quarter in the previous year, the business earned $4.13 EPS. As a group, research analysts predict that Microsoft Corporation will post 19.86 earnings per share for the current fiscal year.

Microsoft Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, December 10th. Stockholders of record on Thursday, November 19th will be issued a $0.98 dividend. This is a boost 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%. The ex-dividend date is Thursday, November 19th. Microsoft's dividend payout ratio is 19.00%.

Insider Buying and Selling

In related news, EVP Amy Hood sold 41,674 shares of the stock in a transaction on Monday, September 14th. The stock was sold at an average price of $498.27, for a total value of $20,764,903.98. Following the completion of the sale, the executive vice president directly owned 533,624 shares of the company's stock, valued at approximately $265,888,830.48. This represents a 7.24% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Satya Nadella sold 86,525 shares of the stock in a transaction on 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 $244,092,173.98. The trade was a 15.09% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 135,504 shares of company stock worth $68,138,024 in the last 90 days. Corporate insiders own 0.03% of the company's stock.

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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