EdgeRock Capital LLC Invests $4.74 Million in Microsoft Corporation $MSFT

Key Points

• EdgeRock Capital LLC has invested approximately $4.74 million in Microsoft, acquiring 9,530 shares, making it the firm's 19th largest position.
• The software giant recently reported a quarterly earnings per share (EPS) of $3.65, surpassing analyst expectations and showing an 18.1% increase in revenue year-over-year.
• Microsoft declared a quarterly dividend increase to $0.91 per share, reflecting a yield of 0.7% and a payout ratio of 24.34%.

EdgeRock Capital LLC purchased a new position in shares of Microsoft Corporation (NASDAQ:MSFT - Free Report) in the second quarter, according to the company in its most recent Form 13F filing with the SEC. The fund purchased 9,530 shares of the software giant's stock, valued at approximately $4,741,000. Microsoft makes up about 1.5% of EdgeRock Capital LLC's holdings, making the stock its 19th largest position.

A number of other institutional investors also recently modified their holdings of MSFT. PMV Capital Advisers LLC raised its position in Microsoft by 5.9% in the second quarter. PMV Capital Advisers LLC now owns 359 shares of the software giant's stock valued at $178,000 after purchasing an additional 20 shares during the last quarter. Seek First Inc. increased its stake in shares of Microsoft by 1.5% in the second quarter. Seek First Inc. now owns 1,358 shares of the software giant's stock valued at $675,000 after buying an additional 20 shares during the period. Level Financial Advisors raised its holdings in Microsoft by 0.8% in the 2nd quarter. Level Financial Advisors now owns 2,680 shares of the software giant's stock valued at $1,333,000 after buying an additional 20 shares during the last quarter. Guided Capital Wealth Management LLC raised its holdings in Microsoft by 0.4% in the 2nd quarter. Guided Capital Wealth Management LLC now owns 5,405 shares of the software giant's stock valued at $2,688,000 after buying an additional 21 shares during the last quarter. Finally, Great Oak Capital Partners LLC raised its holdings in Microsoft by 0.9% in the 2nd quarter. Great Oak Capital Partners LLC now owns 2,298 shares of the software giant's stock valued at $1,157,000 after buying an additional 21 shares during the last quarter. Institutional investors and hedge funds own 71.13% of the company's stock.

Microsoft Stock Down 2.2%

Shares of NASDAQ:MSFT opened at $510.96 on Friday. The business's 50 day simple moving average is $513.12 and its two-hundred day simple moving average is $471.16. The firm has a market cap of $3.80 trillion, a P/E ratio of 37.46, a PEG ratio of 2.27 and a beta of 1.03. The company has a debt-to-equity ratio of 0.12, a quick ratio of 1.35 and a current ratio of 1.35. Microsoft Corporation has a 52-week low of $344.79 and a 52-week high of $555.45.

Microsoft (NASDAQ:MSFT - Get Free Report) last posted its earnings results on Wednesday, July 30th. The software giant reported $3.65 earnings per share for the quarter, beating analysts' consensus estimates of $3.35 by $0.30. Microsoft had a return on equity of 32.44% and a net margin of 36.15%.The company had revenue of $76.44 billion for the quarter, compared to analyst estimates of $73.79 billion. During the same quarter last year, the company earned $2.95 earnings per share. The company's revenue for the quarter was up 18.1% on a year-over-year basis. Microsoft has set its Q1 2026 guidance at EPS. As a group, research analysts forecast that Microsoft Corporation will post 13.08 EPS for the current fiscal year.

Microsoft Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, December 11th. Investors of record on Thursday, November 20th will be issued a dividend of $0.91 per share. This represents a $3.64 dividend on an annualized basis and a yield of 0.7%. This is an increase from Microsoft's previous quarterly dividend of $0.83. The ex-dividend date is Thursday, November 20th. Microsoft's dividend payout ratio is 24.34%.

Insiders Place Their Bets

In related news, CEO Satya Nadella sold 149,205 shares of Microsoft stock in a transaction on Wednesday, September 3rd. The stock was sold at an average price of $504.78, for a total transaction of $75,315,699.90. Following the sale, the chief executive officer directly owned 790,852 shares in the company, valued at approximately $399,206,272.56. This trade represents a 15.87% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, EVP Takeshi Numoto sold 4,850 shares of the firm's stock in a transaction on Tuesday, August 12th. The stock was sold at an average price of $527.32, for a total value of $2,557,502.00. Following the completion of the sale, the executive vice president directly owned 39,111 shares of the company's stock, valued at $20,624,012.52. This represents a 11.03% decrease in their ownership of the stock. The disclosure for this sale can be found here. Company insiders own 0.03% of the company's stock.

Analysts Set New Price Targets

A number of brokerages recently issued reports on MSFT. Wells Fargo & Company raised their price objective on shares of Microsoft from $650.00 to $675.00 and gave the company an "overweight" rating in a report on Monday. Melius Research raised their price objective on shares of Microsoft from $595.00 to $625.00 in a report on Thursday, September 25th. Sanford C. Bernstein raised their price objective on shares of Microsoft from $540.00 to $637.00 and gave the company an "outperform" rating in a report on Thursday, July 31st. Truist Financial increased their price target on Microsoft from $650.00 to $675.00 and gave the company a "buy" rating in a research note on Monday, August 18th. Finally, Morgan Stanley reissued an "overweight" rating on shares of Microsoft in a research note on Thursday. One research analyst has rated the stock with a Strong Buy rating, thirty-one have assigned a Buy rating and two have given a Hold rating to the stock. According to MarketBeat, Microsoft currently has a consensus rating of "Moderate Buy" and a consensus price target of $618.47.

About Microsoft

Microsoft Corporation develops and supports software, services, devices and solutions worldwide. The Productivity and Business Processes segment offers office, exchange, SharePoint, Microsoft Teams, office 365 Security and Compliance, Microsoft viva, and Microsoft 365 copilot; and office consumer services, such as Microsoft 365 consumer subscriptions, Office licensed on-premises, and other office services.

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