Microsoft Corporation $MSFT Shares Purchased by Siren L.L.C.

Key Points

• Siren L.L.C. increased its Microsoft stake by 175.9% in the first quarter, purchasing 26,380 additional shares and bringing its holdings to 41,380 shares valued at approximately $15.3 million. Institutional investors collectively own 71.13% of Microsoft.
• Microsoft delivered a strong quarter, reporting $4.74 in adjusted EPS and $90.01 billion in revenue, exceeding analyst expectations, with revenue up 17.7% year over year. Analysts maintain a “Moderate Buy” consensus rating and an average price target of $558.87.
• Despite strong AI and Azure growth prospects, investors face concerns over rising data-center spending, pressured cloud margins, customer concentration and recent insider selling. Microsoft also announced a quarterly dividend of $0.91 per share, yielding approximately 0.7%.

Siren L.L.C. grew its holdings in shares of Microsoft Corporation (NASDAQ:MSFT - Free Report) by 175.9% during the first quarter, according to its most recent Form 13F filing with the SEC. The firm owned 41,380 shares of the software giant's stock after purchasing an additional 26,380 shares during the period. Siren L.L.C.'s holdings in Microsoft were worth $15,318,000 as of its most recent SEC filing.

Other large investors also recently modified their holdings of the company. Longfellow Investment Management Co. LLC boosted its stake in Microsoft by 51.3% in the second quarter. Longfellow Investment Management Co. LLC now owns 59 shares of the software giant's stock valued at $29,000 after acquiring an additional 20 shares during the period. Bernzott Capital Advisors acquired a new stake in shares of Microsoft during the 4th quarter worth approximately $34,000. Timmons Wealth Management LLC bought a new stake in shares of Microsoft in the 4th quarter worth approximately $36,000. Fairway Wealth LLC boosted its position in Microsoft by 287.0% during the 4th quarter. Fairway Wealth LLC now owns 89 shares of the software giant's stock valued at $43,000 after purchasing an additional 66 shares during the period. Finally, University of Illinois Foundation bought a new position in Microsoft during the 2nd quarter worth $50,000. 71.13% of the stock is currently owned by institutional investors.

Key Stories Impacting Microsoft

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Citi raised its Microsoft price target to $600. The upgrade follows Microsoft’s quarterly Azure performance, with analysts highlighting the 43% cloud-revenue increase and stronger-than-expected earnings as evidence that AI demand is translating into accelerating cloud growth. Citi Raises Microsoft Stock Target to $600
• Positive Sentiment: Microsoft’s custom AI chips may improve cloud economics. CEO Satya Nadella said the company’s internally developed chips can deliver efficiency gains of up to 40%. Better cost and energy efficiency could help Microsoft support AI workloads while protecting Azure margins. Microsoft Custom AI Chips Improve Efficiency
• Positive Sentiment: Azure is expanding in India. Microsoft opened a major Hyderabad data-center region and is committing approximately $20.5 billion to its Indian cloud and AI operations. Early customers include Adani Group and HDFC Bank, supporting the case for long-term international Azure growth. Microsoft Opens Largest India Data Center Hub
• Positive Sentiment: Fundamentals and institutional support remain strong. Microsoft recently exceeded quarterly revenue and EPS expectations, while Bill Ackman’s Pershing Square holds a reported $2.4 billion MSFT position. Scotiabank also raised its fiscal 2027 EPS estimate and maintained an Outperform rating. Bill Ackman Microsoft Stake
• Neutral Sentiment: AI demand is powerful but concentrated. Reports suggest OpenAI may account for a substantial portion of Microsoft’s AI sales, creating both a major growth engine and customer-concentration risk. Microsoft’s large AI backlog also does not guarantee equivalent future profitability.
• Negative Sentiment: Spending, margins and valuation remain concerns. Rising data-center capital expenditures and lower cloud gross margins could pressure cash flow if AI infrastructure costs grow faster than revenue. After the sharp post-earnings rally, the stock is also more vulnerable to profit-taking or disappointing guidance.
• Negative Sentiment: Insider sales and securities litigation add headline risk. CEO Judson Althoff sold 10,000 shares for roughly $4.9 million, and multiple law firms are publicizing a securities class action with an August 11 lead-plaintiff deadline. These developments do not establish wrongdoing but may weigh on near-term sentiment.

Analyst Upgrades and Downgrades

Several equities research analysts have weighed in on MSFT shares. Stifel Nicolaus increased their target price on Microsoft from $400.00 to $450.00 and gave the stock a "hold" rating in a research report on Thursday, July 30th. Deutsche Bank Aktiengesellschaft reissued a "buy" rating on shares of Microsoft in a report on Monday, July 20th. HSBC lowered their price target on shares of Microsoft from $593.00 to $571.00 in a research report on Thursday, April 30th. Jefferies Financial Group reiterated a "buy" rating on shares of Microsoft in a research report on Monday, May 4th. Finally, Truist Financial reissued a "buy" rating and set a $575.00 target price on shares of Microsoft in a research note on Wednesday, July 22nd. Forty-two equities research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus price target of $558.87.

Microsoft Price Performance

Shares of MSFT stock opened at $499.99 on Monday. Microsoft Corporation has a 1 year low of $349.20 and a 1 year high of $553.72. The company has a debt-to-equity ratio of 0.07, a quick ratio of 1.22 and a current ratio of 1.23. The business's fifty day moving average is $404.86 and its 200-day moving average is $406.59. The stock has a market cap of $3.71 trillion, a PE ratio of 27.84, a price-to-earnings-growth ratio of 1.61 and a beta of 1.10.

Microsoft (NASDAQ:MSFT - Get Free Report) last announced its earnings results on Wednesday, July 29th. The software giant reported $4.74 earnings per share for the quarter, beating the consensus estimate of $4.24 by $0.50. Microsoft had a return on equity of 31.98% and a net margin of 40.31%.The business had revenue of $90.01 billion during the quarter, compared to analysts' expectations of $87.62 billion. During the same quarter last year, the business posted $3.65 earnings per share. The company's quarterly revenue was up 17.7% on a year-over-year basis. Equities analysts expect that Microsoft Corporation will post 19.58 earnings per share for the current fiscal year.

Microsoft Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Thursday, August 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%. The ex-dividend date is Thursday, August 20th. Microsoft's dividend payout ratio (DPR) is presently 20.27%.

Insider Buying and Selling

In other news, EVP Takeshi Numoto sold 4,810 shares of the 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 completion of the sale, the executive vice president owned 42,677 shares in the company, valued at approximately $21,188,276.96. This represents a 10.13% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Judson Althoff sold 10,000 shares of the firm's stock in a transaction on Wednesday, August 5th. The stock was sold at an average price of $487.89, for a total value of $4,878,900.00. Following the sale, the chief executive officer directly owned 100,447 shares of the company's stock, valued at approximately $49,007,086.83. This represents a 9.05% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 38,572 shares of company stock worth $17,775,330. Corporate insiders own 0.03% of the company's stock.

About Microsoft

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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