Microsoft Corporation $MSFT Shares Acquired by KLP Kapitalforvaltning AS

Key Points

• KLP Kapitalforvaltning AS increased its Microsoft stake by 1.6% in the fourth quarter, buying 45,940 additional shares and bringing its total to 2,844,208 shares worth about $1.38 billion.
• Microsoft reported strong quarterly results, with EPS of $4.27 beating estimates and revenue of $82.89 billion topping expectations, while revenue rose 18.3% year over year. The company also announced a quarterly dividend of $0.91 per share.
• Recent news remains mixed: analysts and investors continue to point to AI and Azure growth as upside drivers, but Microsoft is also facing a UK antitrust probe and LinkedIn announced 5% workforce cuts.

KLP Kapitalforvaltning AS boosted its stake in shares of Microsoft Corporation (NASDAQ:MSFT - Free Report) by 1.6% during the fourth quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund owned 2,844,208 shares of the software giant's stock after acquiring an additional 45,940 shares during the quarter. Microsoft makes up approximately 5.3% of KLP Kapitalforvaltning AS's holdings, making the stock its 3rd biggest holding. KLP Kapitalforvaltning AS's holdings in Microsoft were worth $1,375,516,000 as of its most recent SEC filing.

A number of other hedge funds have also recently added to or reduced their stakes in the stock. BLVD Private Wealth LLC lifted its position in shares of Microsoft by 0.6% in the third quarter. BLVD Private Wealth LLC now owns 3,169 shares of the software giant's stock worth $1,641,000 after purchasing an additional 19 shares in the last quarter. Longfellow Investment Management Co. LLC raised its position in Microsoft by 51.3% during the second 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. Magnolia Capital Management Ltd. raised its position in Microsoft by 0.3% during the third quarter. Magnolia Capital Management Ltd. now owns 6,509 shares of the software giant's stock worth $3,371,000 after acquiring an additional 20 shares in the last quarter. ARK & TLK Investments LLC lifted its stake in Microsoft by 1.0% in the third quarter. ARK & TLK Investments LLC now owns 1,935 shares of the software giant's stock valued at $1,002,000 after acquiring an additional 20 shares during the last quarter. Finally, Rochester Wealth Strategies LLC lifted its stake in Microsoft by 2.9% in the third quarter. Rochester Wealth Strategies LLC now owns 700 shares of the software giant's stock valued at $363,000 after acquiring an additional 20 shares during the last quarter. Institutional investors own 71.13% of the company's stock.

Insider Activity

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

Microsoft News Summary

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Bill Ackman revealed a new multi-billion-dollar stake in Microsoft (MSFT), saying the company looks attractively valued and highlighting Azure, Microsoft 365, and AI as key growth drivers. Reuters: Ackman's Pershing Square takes stake in Microsoft, citing 'compelling' valuation
• Positive Sentiment: Analysts and market commentary continued to argue that Microsoft’s AI infrastructure, Azure growth, and OpenAI exposure could support further upside, with some seeing the stock’s weaker recent performance as a buying opportunity. TipRanks: Microsoft Buy Rating Reiterated as AI and Cloud Momentum Builds
• Neutral Sentiment: Microsoft also announced a board addition, appointing former EY chief Carmine Di Sibio to its board of directors, which is a governance update but not an immediate operating catalyst. PR Newswire: Microsoft announces appointment of Carmine Di Sibio to board of directors
• Negative Sentiment: The UK opened an antitrust probe into Microsoft’s business software and cloud practices, creating a potential regulatory overhang for the stock. Reuters: UK opens antitrust probe into Microsoft's business software
• Negative Sentiment: LinkedIn, a Microsoft-owned unit, announced 5% workforce cuts, reinforcing that the company is still trimming costs even as it ramps AI spending. Reuters: LinkedIn to lay off 5% of workforce amid tech industry cuts

Microsoft Trading Up 3.1%

MSFT stock opened at $421.92 on Friday. The company has a debt-to-equity ratio of 0.08, a quick ratio of 1.27 and a current ratio of 1.28. The company's 50-day simple moving average is $398.18 and its 200 day simple moving average is $441.39. Microsoft Corporation has a 52 week low of $356.28 and a 52 week high of $555.45. The company has a market capitalization of $3.13 trillion, a PE ratio of 25.11, a price-to-earnings-growth ratio of 1.52 and a beta of 1.10.

Microsoft (NASDAQ:MSFT - Get Free Report) last released its quarterly earnings results on Wednesday, April 29th. The software giant reported $4.27 EPS for the quarter, beating the consensus estimate of $4.06 by $0.21. Microsoft had a net margin of 39.34% and a return on equity of 31.94%. The business had revenue of $82.89 billion for the quarter, compared to the consensus estimate of $81.44 billion. During the same period in the prior year, the company posted $3.46 earnings per share. Microsoft's revenue was up 18.3% compared to the same quarter last year. As a group, sell-side analysts anticipate that Microsoft Corporation will post 16.76 earnings per share for the current year.

Microsoft Announces Dividend

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

Analyst Upgrades and Downgrades

A number of brokerages have commented on MSFT. Truist Financial cut their price target on shares of Microsoft from $675.00 to $575.00 and set a "buy" rating for the company in a research note on Thursday, April 30th. HSBC cut their price target on shares of Microsoft from $593.00 to $571.00 in a research note on Thursday, April 30th. Benchmark reiterated a "buy" rating and issued a $525.00 price target (up from $450.00) on shares of Microsoft in a research note on Tuesday, April 28th. William Blair reiterated an "outperform" rating on shares of Microsoft in a research note on Monday, March 9th. Finally, DZ Bank reiterated a "buy" rating on shares of Microsoft in a research note on Thursday, April 30th. Thirty-nine investment analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the stock. According to data from MarketBeat.com, Microsoft presently has a consensus rating of "Moderate Buy" and a consensus price target of $560.88.

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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