Microsoft Corporation $MSFT Shares Sold by Unio Capital LLC

Key Points

• Unio Capital reduced its Microsoft position by 1.9% in the second quarter, selling 2,279 shares and retaining 118,778 shares worth approximately $44.3 million. Microsoft remains about 8.4% of the firm’s portfolio.
• Institutional ownership remains substantial at 71.13%, while analyst sentiment is broadly positive: Microsoft has a “Moderate Buy” consensus rating and an average price target of $592.15.
• Microsoft reported quarterly revenue growth of 17.7% and earnings above estimates, while raising its quarterly dividend to $0.98 per share. Investors are now focused on Azure growth, AI monetization, capital spending and whether heavy infrastructure investment will pressure margins.

Unio Capital LLC reduced its position in Microsoft Corporation (NASDAQ:MSFT - Free Report) by 1.9% in the 2nd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 118,778 shares of the software giant's stock after selling 2,279 shares during the period. Microsoft comprises about 8.4% of Unio Capital LLC's portfolio, making the stock its 6th biggest holding. Unio Capital LLC's holdings in Microsoft were worth $44,307,000 at the end of the most recent reporting period.

A number of other hedge funds have also recently added to or reduced their stakes in the company. Bank of America Corp DE purchased a new position in Microsoft during the second quarter worth approximately $27,338,370,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC increased its position in shares of Microsoft by 0.9% in the second 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 valued at $24,013,297,000 after buying an additional 543,172 shares in the last quarter. Legal & General Group Plc purchased a new stake in shares of Microsoft in the second quarter valued at approximately $18,306,443,000. Amundi raised its stake in shares of Microsoft by 30.8% during the 1st quarter. Amundi now owns 41,675,076 shares of the software giant's stock worth $15,426,862,000 after buying an additional 9,814,598 shares during the period. Finally, Dimensional Fund Advisors LP raised its stake in shares of Microsoft by 10.5% during the 1st quarter. Dimensional Fund Advisors LP now owns 29,323,744 shares of the software giant's stock worth $10,852,884,000 after buying an additional 2,784,809 shares during the period. 71.13% of the stock is owned by hedge funds and other institutional investors.

Key Stories Impacting Microsoft

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Azure and earnings expectations remain strong. Bank of America reaffirmed its Buy rating and forecast approximately 44.8% Azure growth. Analysts expect quarterly results to be broadly in line with estimates, with Azure strength potentially offsetting heavy investment in AI infrastructure. Microsoft Stock Forecast: BofA Reaffirms Buy Ahead of Earnings
• Positive Sentiment: Microsoft’s custom silicon and security businesses could support future cloud margins. The Maia AI accelerator and other internally developed chips may reduce reliance on Nvidia, improve cost control and retain more economics from Microsoft’s AI services. Investors are also watching whether security growth helps offset data-center expenses. Microsoft: Security And Silicon Set The Stage For Cloud Margin Recovery
• Positive Sentiment: Medical AI results add another potential growth opportunity. Microsoft’s MAI-DxO reportedly diagnosed complex cases more than twice as often as general physicians in a simulation, strengthening the company’s positioning in healthcare AI, although commercialization and regulatory hurdles remain. Microsoft develops AI tool that can diagnose sequentially like a doctor
• Neutral Sentiment: The upcoming report is a major near-term catalyst. Investors will focus on Azure growth, Copilot adoption, AI monetization, capital expenditures, backlog conversion and management’s outlook. The stock is trading near its yearly high, raising expectations for a strong forecast. Microsoft's Earnings Problem: Even Great May Not Be Enough
• Negative Sentiment: AI spending and market conditions could pressure valuation and margins. Investors have recently sold some technology shares when companies raised infrastructure budgets, while a weaker overall market and higher oil prices have added volatility. Microsoft’s large data-center investment must translate into revenue growth to justify the spending. Microsoft Earnings Report To Focus On AI Momentum, Capex
• Negative Sentiment: Operational and product concerns remain. Microsoft withdrew from a U.K. data-center deal because of power-delivery delays, and Xbox cloud-streaming price changes have generated customer friction. Former CEO Bill Gates has also warned about AI safety risks, potentially increasing regulatory scrutiny. Microsoft pulls out of UK Nscale data centre deal over power delay

Analyst Ratings Changes

A number of research analysts have recently issued reports on MSFT shares. Stifel Nicolaus upgraded Microsoft from a "hold" rating to a "buy" rating and increased their target price for the company from $530.00 to $575.00 in a research report on Tuesday, September 22nd. Melius Research set a $665.00 price target on shares of Microsoft and gave the stock a "buy" rating in a report on Monday, October 5th. BMO Capital Markets lifted their target price on shares of Microsoft from $515.00 to $600.00 and gave the company an "outperform" rating in a research report on Tuesday, October 20th. Phillip Securities cut shares of Microsoft from a "moderate buy" rating to a "hold" rating in a research note on Monday, October 12th. Finally, Needham & Company LLC initiated coverage on Microsoft in a report on Wednesday, September 23rd. They issued a "buy" rating on the stock. Forty-three investment analysts have rated the stock with a Buy rating, four have given a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat, Microsoft presently has a consensus rating of "Moderate Buy" and an average price target of $592.15.

Insider Activity at Microsoft

In related news, EVP Amy Hood sold 7,305 shares of the business's stock in a transaction on Tuesday, October 13th. The stock was sold at an average price of $545.42, for a total value of $3,984,293.10. Following the sale, the executive vice president owned 555,396 shares in the company, valued at approximately $302,924,086.32. The trade was a 1.30% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Judson Althoff sold 10,000 shares of the business's stock in a transaction dated Wednesday, August 5th. The stock was sold at an average price of $487.89, for a total transaction of $4,878,900.00. Following the sale, the chief executive officer owned 100,447 shares in the company, valued at $49,007,086.83. This trade represents a 9.05% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 150,314 shares of company stock valued at $75,404,992 over the last 90 days. Insiders own 0.03% of the company's stock.

Microsoft Stock Performance

Shares of MSFT stock opened at $524.51 on Monday. The company's 50-day moving average price is $508.51 and its 200-day moving average price is $446.69. The company has a current ratio of 1.23, a quick ratio of 1.22 and a debt-to-equity ratio of 0.07. The stock has a market cap of $3.90 trillion, a price-to-earnings ratio of 29.20, a PEG ratio of 1.68 and a beta of 1.10. Microsoft Corporation has a twelve month low of $349.20 and a twelve month high of $553.72.

Microsoft (NASDAQ:MSFT - Get Free Report) last posted its quarterly 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. The business had revenue of $90.01 billion during the quarter, compared to analysts' expectations of $87.62 billion. Microsoft had a net margin of 40.31% and a return on equity of 31.98%. The business's revenue for the quarter was up 17.7% on a year-over-year basis. During the same quarter in the prior year, the company posted $3.65 EPS. As a group, equities analysts predict that Microsoft Corporation will post 19.66 earnings per share for the current year.

Microsoft Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, December 10th. Shareholders of record on Thursday, November 19th will be given a dividend of $0.98 per share. This is a boost from Microsoft's previous quarterly dividend of $0.91. This represents a $3.92 dividend on an annualized basis and a dividend yield of 0.7%. The ex-dividend date is Thursday, November 19th. Microsoft's dividend payout ratio (DPR) is 20.27%.

Microsoft Company Profile

Microsoft Corporation NASDAQ: MSFT is a global technology company that develops software, cloud services, devices and digital platforms. Its products and services are used by consumers, businesses, governments and educational institutions worldwide.

The company's principal offerings include the Windows operating system; Microsoft 365 productivity applications such as Word, Excel, Teams and Outlook; Azure cloud computing and infrastructure services; Dynamics business applications; and enterprise security solutions.

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