Compound Planning Inc. Sells 7,044 Shares of Microsoft Corporation $MSFT

Key Points

• Compound Planning reduced its Microsoft position by 5.7% in the first quarter, selling 7,044 shares and retaining 116,001 shares valued at approximately $42.94 million. Institutional investors collectively own 71.13% of Microsoft.
• Microsoft reported strong quarterly results, with revenue rising 17.7% year over year to $90.01 billion and EPS of $4.74, exceeding analyst expectations. The stock was up 1.2%, while analysts maintained a “Moderate Buy” consensus and an average price target of $559.16.
• AI and cloud growth remain key investor catalysts: Microsoft may introduce its Maia 300 AI chip as early as September, while Azure expansion, backlog and improving Copilot monetization support optimism. The company also announced a quarterly dividend of $0.91 per share.

Compound Planning Inc. trimmed its holdings in shares of Microsoft Corporation (NASDAQ:MSFT - Free Report) by 5.7% in the first quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund owned 116,001 shares of the software giant's stock after selling 7,044 shares during the quarter. Microsoft accounts for about 1.3% of Compound Planning Inc.'s holdings, making the stock its 13th largest position. Compound Planning Inc.'s holdings in Microsoft were worth $42,940,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also bought and sold shares of MSFT. Vanguard Group Inc. grew its position in Microsoft by 2.3% during the fourth quarter. Vanguard Group Inc. now owns 717,942,580 shares of the software giant's stock valued at $347,211,391,000 after buying an additional 15,955,898 shares during the period. State Street Corp raised its position in Microsoft by 2.1% in the fourth quarter. State Street Corp now owns 306,150,608 shares of the software giant's stock worth $148,060,557,000 after acquiring an additional 6,388,930 shares during the period. Geode Capital Management LLC raised its position in Microsoft by 1.1% in the fourth quarter. Geode Capital Management LLC now owns 182,618,400 shares of the software giant's stock worth $88,056,019,000 after acquiring an additional 1,911,142 shares during the period. Morgan Stanley boosted its stake in Microsoft by 0.8% in the fourth quarter. Morgan Stanley now owns 121,220,561 shares of the software giant's stock valued at $58,624,690,000 after acquiring an additional 980,439 shares during the last quarter. Finally, Norges Bank purchased a new position in Microsoft in the fourth quarter valued at about $50,664,631,000. Hedge funds and other institutional investors own 71.13% of the company's stock.

Microsoft News Summary

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Maia 300 chip plans support the rally: Reports say Microsoft could unveil its Maia 300 AI accelerator as early as September and secure capacity for more than 300,000 chips by 2027, with longer-term ambitions exceeding one million units. The effort could reduce Microsoft’s dependence on Nvidia, lower AI-computing costs and potentially attract customers such as Anthropic. Microsoft plans to unveil its new Maia 300 AI chip this fall
• Positive Sentiment: Analysts see measured AI investment and further upside: Bernstein raised its Microsoft price target from $647 to $660, arguing that the company is not building data-center capacity too aggressively. The firm said new infrastructure would remain useful for Azure even if AI demand moderated. Microsoft's Datacenter Spending Is Disciplined
• Positive Sentiment: Cloud growth and backlog underpin investor confidence: JPMorgan cited Microsoft’s Azure expansion, substantial backlog and improving AI monetization while supporting higher market-wide earnings forecasts. Other bullish commentary points to strong recent results, including reported Azure growth and broad Copilot adoption. Microsoft Stock Rises as JPMorgan Backs AI Payoff
• Positive Sentiment: Capital returns add support: Microsoft’s large-scale dividends and share repurchases reinforce its position as a cash-generating technology leader, although investors are also evaluating how much capital is being redirected toward AI infrastructure. Microsoft Stock Runs One of the Market's Biggest Cash-Return Machines
• Neutral Sentiment: AI opportunity comes with execution risks: Analysts continue debating whether megacap AI spending will generate adequate cash flow. Separately, reports of AI models reaching real-world systems could increase scrutiny of Microsoft’s autonomous-agent products and enterprise security controls.
• Negative Sentiment: Legal notices remain an overhang: Investor-rights firms are promoting a securities class action involving purchases made between May 1, 2025, and January 28, 2026, with an August 11 lead-plaintiff deadline. The notices do not establish liability but could add reputational and litigation risk.

Microsoft Stock Up 1.2%

MSFT opened at $506.06 on Tuesday. Microsoft Corporation has a 12 month low of $349.20 and a 12 month high of $553.72. The company has a market cap of $3.76 trillion, a PE ratio of 28.18, a price-to-earnings-growth ratio of 1.61 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 company has a 50 day moving average of $405.77 and a 200 day moving average of $406.95.

Microsoft (NASDAQ:MSFT - Get Free Report) last issued its earnings results on Wednesday, July 29th. The software giant reported $4.74 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $4.24 by $0.50. Microsoft had a net margin of 40.31% and a return on equity of 31.98%. The business had revenue of $90.01 billion for the quarter, compared to analysts' expectations of $87.62 billion. During the same quarter in the previous year, the firm posted $3.65 EPS. The business's revenue for the quarter was up 17.7% compared to the same quarter last year. On average, sell-side analysts expect that Microsoft Corporation will post 19.58 EPS for the current year.

Microsoft Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders of record on Thursday, August 20th will be paid a $0.91 dividend. The ex-dividend date is Thursday, August 20th. This represents a $3.64 annualized dividend and a yield of 0.7%. Microsoft's dividend payout ratio (DPR) is currently 20.27%.

Insider Buying and Selling at Microsoft

In other news, CEO Judson Althoff sold 15,500 shares of the firm's stock in a transaction that occurred on Monday, June 1st. The shares were 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 directly owned 110,477 shares in the company, valued at approximately $50,928,792.23. This trade represents a 12.30% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP Takeshi Numoto sold 4,810 shares of the business's stock in a transaction that occurred on Tuesday, August 4th. The shares were sold at an average price of $496.48, for a total transaction of $2,388,068.80. Following the transaction, the executive vice president directly owned 42,677 shares of the company's stock, valued at approximately $21,188,276.96. This represents a 10.13% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 38,572 shares of company stock valued at $17,775,330 in the last quarter. 0.03% of the stock is currently owned by corporate insiders.

Analyst Upgrades and Downgrades

Several equities research analysts have recently issued reports on MSFT shares. Oppenheimer restated an "outperform" rating and set a $515.00 price target on shares of Microsoft in a research note on Wednesday, July 22nd. DZ Bank reiterated a "buy" rating on shares of Microsoft in a research note on Thursday, April 30th. Wolfe Research reissued an "outperform" rating and issued a $550.00 target price on shares of Microsoft in a research report on Thursday, July 30th. The Goldman Sachs Group restated a "buy" rating and issued a $640.00 target price on shares of Microsoft in a research note on Thursday, July 30th. Finally, Argus dropped their price target on Microsoft from $620.00 to $510.00 and set a "buy" rating on the stock in a research report on Friday, July 10th. Forty-two research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and an average target price of $559.16.

Microsoft 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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