Ally Financial Inc. increased its holdings in Microsoft Corporation (NASDAQ:MSFT - Free Report) by 110.0% during the fourth quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 42,000 shares of the software giant's stock after purchasing an additional 22,000 shares during the period. Microsoft accounts for 2.5% of Ally Financial Inc.'s holdings, making the stock its 7th biggest holding. Ally Financial Inc.'s holdings in Microsoft were worth $20,312,000 as of its most recent SEC filing.
A number of other large investors also recently added to or reduced their stakes in the business. Longfellow Investment Management Co. LLC raised its holdings in shares of Microsoft by 51.3% during the 2nd quarter. Longfellow Investment Management Co. LLC now owns 59 shares of the software giant's stock worth $29,000 after acquiring an additional 20 shares in the last quarter. Bernzott Capital Advisors purchased a new stake in shares of Microsoft during the 4th quarter worth approximately $34,000. Timmons Wealth Management LLC purchased a new stake in shares of Microsoft during the 4th quarter worth approximately $36,000. Fairway Wealth LLC raised its holdings in shares of Microsoft by 287.0% during the 4th quarter. Fairway Wealth LLC now owns 89 shares of the software giant's stock worth $43,000 after acquiring an additional 66 shares in the last quarter. Finally, LSV Asset Management purchased a new stake in shares of Microsoft during the 4th quarter worth approximately $44,000. 71.13% of the stock is owned by hedge funds and other institutional investors.
Microsoft News Roundup
Here are the key news stories impacting Microsoft this week:
- Positive Sentiment: Microsoft’s broader AI and cloud story remains intact, with recent commentary highlighting strong Azure demand, continued Copilot momentum, and bullish analyst views that the stock is still attractive long term.
- Positive Sentiment: The company’s quarterly dividend of $0.91 per share reinforces Microsoft’s cash generation and shareholder-return profile.
- Neutral Sentiment: Satya Nadella’s comments about using AI more efficiently and Microsoft’s tighter controls on third-party AI tools like Anthropic’s Claude suggest a focus on governance and cost discipline rather than a direct business setback.
- Negative Sentiment: Reports that Microsoft is weighing a spinoff or restructuring of Xbox, along with expected layoffs and budget cuts, are the biggest near-term headwind and are likely weighing on sentiment around the stock.
- Negative Sentiment: Additional reports of job cuts in Microsoft’s Azure unit in China and broader worries about AI infrastructure spending are adding caution about near-term execution and profitability.
Analyst Ratings Changes
Several analysts have recently issued reports on the company. UBS Group reaffirmed a "buy" rating on shares of Microsoft in a report on Friday, April 24th. Cantor Fitzgerald reaffirmed an "overweight" rating and set a $502.00 price objective on shares of Microsoft in a report on Thursday, June 4th. DZ Bank reaffirmed a "buy" rating on shares of Microsoft in a report on Thursday, April 30th. Wedbush reaffirmed an "outperform" rating and set a $575.00 price objective on shares of Microsoft in a report on Wednesday, May 13th. Finally, Piper Sandler restated an "overweight" rating on shares of Microsoft in a report on Tuesday, May 26th. Forty-one equities research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. Based on data from MarketBeat, the company has an average rating of "Moderate Buy" and an average price target of $561.20.
Read Our Latest Research Report on Microsoft
Microsoft Stock Performance
NASDAQ:MSFT opened at $390.74 on Friday. The stock's fifty day moving average is $411.08 and its 200 day moving average is $428.95. Microsoft Corporation has a fifty-two week low of $356.28 and a fifty-two week high of $555.45. The firm has a market capitalization of $2.90 trillion, a PE ratio of 23.26, a PEG ratio of 1.41 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 (NASDAQ:MSFT - Get Free Report) last released its quarterly earnings results on Wednesday, April 29th. The software giant reported $4.27 earnings per share for the quarter, beating the consensus estimate of $4.06 by $0.21. Microsoft had a return on equity of 31.94% and a net margin of 39.34%.The company had revenue of $82.89 billion for the quarter, compared to analyst estimates of $81.44 billion. During the same quarter in the prior year, the firm posted $3.46 EPS. Microsoft's quarterly revenue was up 18.3% compared to the same quarter last year. On average, sell-side analysts anticipate that Microsoft Corporation will post 16.76 earnings per share for the current year.
Microsoft Dividend Announcement
The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders of record on Thursday, August 20th will be given a $0.91 dividend. This represents a $3.64 annualized dividend and a yield of 0.9%. The ex-dividend date of this dividend is Thursday, August 20th. Microsoft's dividend payout ratio is 21.67%.
Insider Buying and Selling at Microsoft
In other Microsoft news, EVP Amy Coleman sold 1,262 shares of the company's stock in a transaction on Thursday, May 14th. The stock was sold at an average price of $411.34, for a total value of $519,111.08. Following the transaction, the executive vice president owned 46,003 shares of the company's stock, valued at $18,922,874.02. This represents a 2.67% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, EVP Takeshi Numoto sold 4,500 shares of the company's stock in a transaction on Wednesday, June 10th. The shares were sold at an average price of $402.84, for a total value of $1,812,780.00. Following the completion of the transaction, the executive vice president directly owned 47,468 shares in the company, valued at $19,122,009.12. This trade represents a 8.66% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 23,762 shares of company stock valued at $10,508,361 in the last quarter. 0.03% of the stock is owned by insiders.
About Microsoft
(
Free Report)
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).
Further Reading
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