Microsoft Corporation $MSFT is Chicago Capital LLC's 8th Largest Position

Key Points

• Chicago Capital LLC trimmed its Microsoft stake slightly in the fourth quarter, but MSFT still represents 3.0% of its portfolio and remains its 8th-largest holding. The position was worth about $120.2 million as of the latest filing.
• Microsoft beat quarterly expectations, reporting EPS of $4.27 versus analysts’ $4.06 estimate and revenue of $82.89 billion versus $81.44 billion expected. Revenue rose 18.3% year over year, underscoring continued strength in the business.
• Analyst sentiment remains constructive, with a consensus rating of “Moderate Buy” and an average target price of $562.69. The company also announced a quarterly dividend of $0.91 per share, payable June 11, for an annualized yield of 0.9%.

Chicago Capital LLC decreased its stake in shares of Microsoft Corporation (NASDAQ:MSFT - Free Report) by 0.9% during the fourth quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor owned 248,534 shares of the software giant's stock after selling 2,164 shares during the period. Microsoft makes up 3.0% of Chicago Capital LLC's investment portfolio, making the stock its 8th largest holding. Chicago Capital LLC's holdings in Microsoft were worth $120,196,000 as of its most recent filing with the Securities and Exchange Commission.

Several other hedge funds and other institutional investors also recently modified their holdings of MSFT. LifeWealth Investments LLC raised its stake in Microsoft by 3.6% in the fourth quarter. LifeWealth Investments LLC now owns 10,051 shares of the software giant's stock worth $4,861,000 after buying an additional 350 shares in the last quarter. Moss Adams Wealth Advisors LLC boosted its position in Microsoft by 0.6% during the 4th quarter. Moss Adams Wealth Advisors LLC now owns 45,589 shares of the software giant's stock valued at $22,048,000 after acquiring an additional 266 shares in the last quarter. Boyum Wealth Architects LLC grew its holdings in shares of Microsoft by 273.2% during the 4th quarter. Boyum Wealth Architects LLC now owns 2,131 shares of the software giant's stock worth $993,000 after acquiring an additional 1,560 shares during the period. Nabity Jensen Investment Management Inc grew its holdings in shares of Microsoft by 0.7% during the 4th quarter. Nabity Jensen Investment Management Inc now owns 6,815 shares of the software giant's stock worth $3,296,000 after acquiring an additional 46 shares during the period. Finally, Trivium Point Advisory LLC raised its position in shares of Microsoft by 4.8% in the 4th quarter. Trivium Point Advisory LLC now owns 66,385 shares of the software giant's stock worth $32,105,000 after acquiring an additional 3,015 shares in the last quarter. Hedge funds and other institutional investors own 71.13% of the company's stock.

Microsoft Trading Down 1.4%

NASDAQ:MSFT opened at $415.00 on Friday. The stock has a market cap of $3.08 trillion, a price-to-earnings ratio of 24.70, a PEG ratio of 1.50 and a beta of 1.10. The company has a quick ratio of 1.27, a current ratio of 1.28 and a debt-to-equity ratio of 0.08. The company's 50 day moving average price is $396.79 and its 200-day moving average price is $445.39. Microsoft Corporation has a 52 week low of $356.28 and a 52 week high of $555.45.

Microsoft (NASDAQ:MSFT - Get Free Report) last announced its quarterly earnings data on Wednesday, April 29th. The software giant reported $4.27 earnings per share for the quarter, topping analysts' consensus estimates of $4.06 by $0.21. The company had revenue of $82.89 billion during the quarter, compared to analyst estimates of $81.44 billion. Microsoft had a net margin of 39.34% and a return on equity of 31.94%. The firm's revenue for the quarter was up 18.3% on a year-over-year basis. During the same period in the previous year, the business earned $3.46 EPS. On average, equities research analysts forecast that Microsoft Corporation will post 16.76 earnings per share for the current fiscal year.

Microsoft Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, June 11th. Stockholders of record on Thursday, May 21st will be paid a $0.91 dividend. The ex-dividend date is Thursday, May 21st. This represents a $3.64 annualized dividend and a dividend yield of 0.9%. Microsoft's payout ratio is currently 21.67%.

Key Headlines Impacting Microsoft

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Microsoft continues to draw bullish analyst commentary, with multiple firms raising or reaffirming price targets after the company’s strong earnings beat and Azure growth, reinforcing the view that core business momentum remains solid.
• Positive Sentiment: New reports suggest Microsoft’s AI ecosystem is still gaining traction, including partner milestones tied to Copilot and AI cloud services, which supports the case for continued enterprise adoption.
• Positive Sentiment: Several hedge funds and asset managers have recently added to Microsoft positions, indicating that some large investors still view MSFT as a long-term AI and cloud leader.
• Neutral Sentiment: Microsoft partnered with CAISI and AISI to advance AI model testing standards, a policy-and-safety focused update that may help its enterprise credibility but is unlikely to move the stock on its own.
• Neutral Sentiment: Reports that Microsoft is considering adjustments to its renewable-energy targets and offering voluntary retirement packages reflect ongoing cost and infrastructure pressures, but these items are more strategic than immediately material to revenue.
• Negative Sentiment: Market attention is centered on TCI’s reduced stake and the broader “AI anxiety” trade, with investors worried Microsoft may be spending heavily on AI infrastructure before the payoff becomes clearer.
• Negative Sentiment: Some commentary also points to temporary margin pressure from elevated AI and data-center spending, which could weigh on near-term profitability even as growth remains strong.

Insiders Place Their Bets

In other Microsoft news, EVP Kathleen T. Hogan sold 12,321 shares of the business's stock in a transaction dated Friday, March 6th. The stock was sold at an average price of $409.52, for a total value of $5,045,695.92. Following the completion of the transaction, the executive vice president owned 137,933 shares of the company's stock, valued at approximately $56,486,322.16. The trade was a 8.20% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director John W. Stanton bought 5,000 shares of the stock in a transaction on Wednesday, February 18th. The shares were bought at an average price of $397.35 per share, for a total transaction of $1,986,750.00. Following the purchase, the director directly owned 83,905 shares in the company, valued at approximately $33,339,651.75. This trade represents a 6.34% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Corporate insiders own 0.03% of the company's stock.

Analyst Ratings Changes

MSFT has been the topic of several research reports. UBS Group restated a "buy" rating on shares of Microsoft in a research report on Friday, April 24th. China Renaissance decreased their price objective on Microsoft from $630.00 to $550.00 and set a "buy" rating for the company in a report on Monday, May 4th. Piper Sandler raised their price objective on Microsoft from $500.00 to $540.00 and gave the company an "overweight" rating in a research report on Thursday, April 30th. BNP Paribas Exane dropped their target price on shares of Microsoft from $556.00 to $555.00 and set an "outperform" rating on the stock in a report on Friday, May 1st. Finally, Melius Research set a $430.00 target price on shares of Microsoft in a research report on Monday, February 9th. One equities research analyst has rated the stock with a Strong Buy rating, thirty-eight have issued a Buy rating and seven have assigned a Hold rating to the company's stock. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average target price of $562.69.

Microsoft Company 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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