FSA Advisors Inc. Acquires 9,547 Shares of Microsoft Corporation $MSFT

Key Points

• FSA Advisors initiated a Microsoft position, purchasing 9,547 shares valued at approximately $3.57 million, equal to 1.5% of its portfolio. Institutional investors collectively own 71.13% of Microsoft.
• Microsoft reported quarterly revenue of $90.01 billion and EPS of $4.74, exceeding analyst expectations, while analysts maintain a “Moderate Buy” consensus with an average price target of $592.15.
• Microsoft raised its quarterly dividend to $0.98 per share, but insiders—including CEO Satya Nadella—have sold shares recently, and investors continue to monitor AI infrastructure constraints and the company’s reliance on external AI-model providers.

FSA Advisors Inc. bought a new stake in Microsoft Corporation (NASDAQ:MSFT - Free Report) during the 2nd quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The firm bought 9,547 shares of the software giant's stock, valued at approximately $3,570,000. Microsoft accounts for 1.5% of FSA Advisors Inc.'s investment portfolio, making the stock its 11th biggest holding.

A number of other institutional investors and hedge funds have also modified their holdings of the stock. Empirical Financial Services LLC d.b.a. Empirical Wealth Management increased its position in Microsoft by 4.0% during the second quarter. Empirical Financial Services LLC d.b.a. Empirical Wealth Management now owns 229,490 shares of the software giant's stock worth $85,604,000 after purchasing an additional 8,773 shares during the last quarter. D.B. Root & Company LLC purchased a new position in Microsoft during the second quarter worth about $3,652,000. Markel Group Inc. boosted its holdings in Microsoft by 0.4% in the 1st quarter. Markel Group Inc. now owns 537,630 shares of the software giant's stock valued at $199,014,000 after purchasing an additional 1,950 shares during the last quarter. Bessemer Group Inc. boosted its holdings in Microsoft by 8.4% in the 1st quarter. Bessemer Group Inc. now owns 6,921,677 shares of the software giant's stock valued at $2,562,197,000 after purchasing an additional 537,634 shares during the last quarter. Finally, Harel Insurance Investments & Financial Services Ltd. grew its stake in shares of Microsoft by 138.8% in the 1st quarter. Harel Insurance Investments & Financial Services Ltd. now owns 1,356,359 shares of the software giant's stock valued at $502,077,000 after buying an additional 788,297 shares during the period. Hedge funds and other 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: Expectations are building for another earnings beat, with demand for Azure cloud infrastructure, Microsoft 365 and Copilot supporting revenue and earnings growth. The key catalyst will be Microsoft’s October 28 report, where investors will look for accelerating Azure growth and evidence that AI investments are translating into monetization. Microsoft Earnings Preview
• Positive Sentiment: Microsoft remains viewed favorably as a relatively cash-generative way to participate in the AI-cloud buildout. While Oracle’s cloud growth is faster, Microsoft’s stronger free cash flow, lower leverage and broad enterprise installed base may provide greater financial resilience as AI capital expenditures rise. Oracle Versus Microsoft
• Positive Sentiment: A new Boeing fleet-intelligence platform, Dataliner, is being built on Microsoft Azure AI Foundry. The partnership could add a recurring enterprise workload for Azure and demonstrate Microsoft’s ability to embed AI in industry-specific applications. Boeing and Microsoft Dataliner
• Positive Sentiment: Tavant’s Microsoft Fabric accelerator is now available through Microsoft Marketplace, potentially making it easier for businesses to deploy Fabric-based analytics and AI solutions across Azure. Tavant Fabric Accelerator
• Neutral Sentiment: GitHub Copilot is reportedly a major customer of Anthropic, highlighting demand for Microsoft’s AI developer tools but also exposing reliance on outside model providers and potential supplier concentration risk. Anthropic Revenue Concentration
• Negative Sentiment: Microsoft’s withdrawal as anchor tenant from a U.K. AI data-center project because of power-supply delays underscores a growing constraint: electricity and grid access may slow Azure’s AI capacity expansion and increase infrastructure costs. Microsoft Withdraws From UK AI Data Center Project
• Negative Sentiment: Investors remain concerned that elevated prices for components could make Microsoft’s next-generation Xbox, Project Helix, less competitive or pressure demand. The gaming business is also undergoing restructuring, adding uncertainty beyond Azure and productivity software. Project Helix Pricing Concerns

Insider Transactions at Microsoft

In other Microsoft news, EVP Takeshi Numoto sold 4,810 shares of the company's stock in a transaction on Tuesday, August 4th. The stock was 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 in the company, valued at $21,188,276.96. This represents a 10.13% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Satya Nadella sold 86,525 shares of the firm's stock in a transaction on Tuesday, September 1st. The stock was sold at an average price of $501.46, for a total value of $43,388,826.50. Following the transaction, the chief executive officer owned 486,763 shares of the company's stock, valued at approximately $244,092,173.98. This represents a 15.09% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 150,314 shares of company stock worth $75,404,992 in the last ninety days. 0.03% of the stock is owned by company insiders.

Analyst Upgrades and Downgrades

A number of brokerages have recently issued reports on MSFT. DA Davidson restated a "buy" rating and set a $550.00 price target on shares of Microsoft in a report on Thursday, July 30th. Guggenheim reiterated a "buy" rating and issued a $586.00 price objective on shares of Microsoft in a report on Wednesday. Oppenheimer upped their price objective on Microsoft from $515.00 to $570.00 and gave the company an "outperform" rating in a report on Tuesday, September 22nd. Needham & Company LLC initiated coverage on Microsoft in a research report on Wednesday, September 23rd. They issued a "buy" rating for the company. Finally, Yorkville Ives started coverage on Microsoft in a research note on Monday, October 5th. They set an "outperform" rating and a $615.00 target price for the company. Forty-three investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have issued a Sell rating to the company's stock. According to MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $592.15.

Microsoft Trading Up 0.2%

Shares of MSFT stock opened at $532.95 on Thursday. Microsoft Corporation has a 1-year low of $349.20 and a 1-year high of $553.72. The firm has a market cap of $3.96 trillion, a PE ratio of 29.67, a price-to-earnings-growth ratio of 1.71 and a beta of 1.10. The company has a 50-day moving average of $507.45 and a two-hundred day moving average of $444.58. The company has a debt-to-equity ratio of 0.07, a current ratio of 1.23 and a quick ratio of 1.22.

Microsoft (NASDAQ:MSFT - Get Free Report) last released its quarterly 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 the consensus estimate of $87.62 billion. During the same period in the previous year, the firm earned $3.65 EPS. The business's revenue was up 17.7% on a year-over-year basis. On average, analysts predict that Microsoft Corporation will post 19.65 EPS for the current year.

Microsoft Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, December 10th. Shareholders of record on Thursday, November 19th will be given a $0.98 dividend. The ex-dividend date of this dividend is Thursday, November 19th. This is a positive change from Microsoft's previous quarterly dividend of $0.91. This represents a $3.92 dividend on an annualized basis and a yield of 0.7%. Microsoft's dividend payout ratio is presently 20.27%.

Microsoft Company Profile

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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