Microsoft Corporation $MSFT Shares Sold by Factor Wealth Management LTD

Key Points

• Factor Wealth Management cut its Microsoft stake by 45.2% in the third quarter, selling 1,900 shares and retaining 2,308 shares valued at about $1.18 million.
• Microsoft beat quarterly estimates, reporting $4.89 in EPS and $92.28 billion in revenue; revenue rose 18.8% year over year.
• The company raised its quarterly dividend from $0.91 to $0.98 per share, equivalent to an annualized $3.92 and a 0.7% yield.

Factor Wealth Management LTD cut its position in shares of Microsoft Corporation (NASDAQ:MSFT - Free Report) by 45.2% during the 3rd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 2,308 shares of the software giant's stock after selling 1,900 shares during the quarter. Factor Wealth Management LTD's holdings in Microsoft were worth $1,184,000 at the end of the most recent reporting period.

Several other institutional investors have also recently added to or reduced their stakes in MSFT. State Street Corp boosted its stake in Microsoft by 2.9% in the second quarter. State Street Corp now owns 315,653,206 shares of the software giant's stock valued at $117,744,959,000 after acquiring an additional 8,944,917 shares during the period. Bank of America Corp DE bought a new stake in shares of Microsoft during the second quarter valued at about $27,338,370,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its stake in shares of Microsoft by 0.9% in the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 64,375,360 shares of the software giant's stock worth $24,013,297,000 after acquiring an additional 543,172 shares during the period. Legal & General Group Plc bought a new position in Microsoft during the 2nd quarter valued at $18,306,443,000. Finally, Amundi grew its holdings in Microsoft by 12.0% during the second quarter. Amundi now owns 46,694,778 shares of the software giant's stock worth $17,418,076,000 after acquiring an additional 5,019,702 shares during the period. Institutional investors own 71.13% of the company's stock.

Microsoft Price Performance

Shares of MSFT stock opened at $533.16 on Wednesday. The firm's 50 day moving average price is $517.80 and its two-hundred day moving average price is $441.10. The company has a debt-to-equity ratio of 0.07, a quick ratio of 1.21 and a current ratio of 1.22. Microsoft Corporation has a 52-week low of $349.20 and a 52-week high of $559.15. The stock has a market cap of $3.96 trillion, a PE ratio of 27.83, a PEG ratio of 1.61 and a beta of 1.05.

Microsoft (NASDAQ:MSFT - Get Free Report) last issued its earnings results on Wednesday, October 28th. The software giant reported $4.89 EPS for the quarter, beating the consensus estimate of $4.72 by $0.17. The company had revenue of $92.28 billion during the quarter, compared to analysts' expectations of $90.62 billion. Microsoft had a net margin of 41.17% and a return on equity of 31.28%. The business's revenue for the quarter was up 18.8% compared to the same quarter last year. During the same quarter in the previous year, the company posted $4.13 EPS. As a group, analysts forecast that Microsoft Corporation will post 19.87 EPS for the current year.

Microsoft Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, December 10th. Investors of record on Thursday, November 19th will be paid a dividend of $0.98 per share. This represents a $3.92 dividend on an annualized basis and a dividend yield of 0.7%. This is a boost from Microsoft's previous quarterly dividend of $0.91. The ex-dividend date of this dividend is Thursday, November 19th. Microsoft's payout ratio is presently 19.00%.

Insider Activity

In other Microsoft news, CEO Satya Nadella sold 86,525 shares of the firm's stock in a transaction dated Tuesday, September 1st. The stock was sold at an average price of $501.46, for a total transaction of $43,388,826.50. Following the transaction, the chief executive officer owned 486,763 shares in the company, valued at approximately $244,092,173.98. This trade represents a 15.09% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Amy Hood sold 41,674 shares of the firm's stock in a transaction dated Monday, September 14th. The stock was sold at an average price of $498.27, for a total value of $20,764,903.98. Following the transaction, the executive vice president owned 533,624 shares in the company, valued at approximately $265,888,830.48. This trade represents a 7.24% decrease in their position. 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 142,809 shares of company stock worth $72,114,646 in the last three months. Insiders own 0.03% of the company's stock.

Microsoft News Summary

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Microsoft and IBM introduced Imagine Enterprise, a platform combining IBM’s library of more than 6,000 AI agents with Microsoft’s cloud, data and security tools. The partnership could help drive enterprise demand for Microsoft’s AI and cloud services. IBM and Microsoft Announce a New AI Agent Platform Designed for Industry-Specific Transformation
• Positive Sentiment: A five-year partnership with Ohio State University will apply Microsoft’s cloud and AI technology to healthcare, research and education, adding another potential customer and use case. Ohio State and Microsoft announce five-year strategic partnership
• Neutral Sentiment: Microsoft reportedly urged the administration to drop a proposed ban on Chinese data-center technology, warning that restrictions could complicate data-center deployment. The outcome could affect equipment access and rollout timing. Microsoft presses Trump to scuttle expected ban on Chinese data-center technology
• Negative Sentiment: Anthropic unveiled workplace tools that could compete with Microsoft Office, including spreadsheet-related capabilities. The move raised concerns about competition in Microsoft’s enterprise software business. Anthropic unveils office suite to challenge Microsoft
• Negative Sentiment: A hot inflation report and rising bond yields weighed on the broader market, creating an additional headwind for technology shares. Stock market coverage on inflation and technology shares

Analyst Upgrades and Downgrades

Several research analysts have issued reports on the company. JPMorgan Chase & Co. reaffirmed a "buy" rating on shares of Microsoft in a report on Monday, September 28th. BNP Paribas Exane cut shares of Microsoft from a "strong-buy" rating to a "hold" rating in a research note on Monday, October 5th. Rothschild & Co Redburn set a $440.00 target price on Microsoft in a research report on Monday, September 21st. William Blair assumed coverage on shares of Microsoft in a report on Monday, October 5th. They set an "outperform" rating for the company. Finally, Benchmark restated a "buy" rating on shares of Microsoft in a report on Friday, July 24th. One analyst has rated the stock with a Strong Buy rating, forty-six have issued a Buy rating and four have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of $609.54.

About Microsoft

Microsoft Corporation is a global technology company that develops software, cloud services, devices, and digital solutions for consumers, businesses, and public-sector organizations. Founded in 1975 by Bill Gates and Paul Allen, the company is headquartered in Redmond, Washington. Its products and services include the Windows operating system, Microsoft 365 productivity applications, Azure cloud computing, LinkedIn, GitHub, Surface devices, and Xbox gaming products and services. Microsoft also provides business software, cybersecurity tools, and artificial intelligence technologies.

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