Microsoft Corporation $MSFT Stock Acquired by Transcend Capital Advisors LLC

Key Points

• Transcend Capital Advisors increased its Microsoft position by 25.2% in the second quarter, owning 92,330 shares worth approximately $34.4 million. Institutional investors collectively hold 71.13% of Microsoft’s outstanding stock.
• Analyst sentiment remains strongly positive, with 43 Buy ratings, four Holds and one Sell; the consensus rating is “Moderate Buy” with a target price of $570.62. Recent optimism centers on Azure growth, Copilot monetization and expanding enterprise AI opportunities.
• Microsoft reported quarterly revenue of $90.01 billion, up 17.7% year over year, and EPS of $4.74, exceeding estimates. The company also raised its quarterly dividend to $0.98, although investors remain cautious about elevated AI infrastructure spending and its impact on free cash flow.

Transcend Capital Advisors LLC increased its position in shares of Microsoft Corporation (NASDAQ:MSFT - Free Report) by 25.2% during the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 92,330 shares of the software giant's stock after buying an additional 18,593 shares during the period. Microsoft comprises approximately 2.3% of Transcend Capital Advisors LLC's holdings, making the stock its 4th biggest holding. Transcend Capital Advisors LLC's holdings in Microsoft were worth $34,441,000 at the end of the most recent quarter.

Other institutional investors have also recently added to or reduced their stakes in the company. Frankly Finances LLC acquired a new position in shares of Microsoft in the second quarter worth about $35,000. Fiduciary Advisors Inc. grew its stake in Microsoft by 37.4% during the 2nd quarter. Fiduciary Advisors Inc. now owns 125 shares of the software giant's stock valued at $47,000 after purchasing an additional 34 shares in the last quarter. MidAtlantic Capital Management Inc. acquired a new stake in Microsoft during the 4th quarter valued at approximately $59,000. Lifetime Wealth Management P.C. purchased a new stake in Microsoft during the 4th quarter worth approximately $101,000. Finally, Ramsey Quantitative Systems acquired a new position in shares of Microsoft in the 2nd quarter valued at approximately $112,000. Institutional investors and hedge funds own 71.13% of the company's stock.

Analysts Set New Price Targets

Several equities analysts have recently commented on the company. Citigroup reiterated a "market outperform" rating on shares of Microsoft in a research note on Monday, September 21st. Deutsche Bank Aktiengesellschaft reaffirmed a "buy" rating on shares of Microsoft in a report on Monday, July 20th. Royal Bank Of Canada reissued an "outperform" rating on shares of Microsoft in a report on Thursday, September 10th. Argus dropped their target price on shares of Microsoft from $620.00 to $510.00 and set a "buy" rating for the company in a research report on Friday, July 10th. Finally, UBS Group initiated coverage on shares of Microsoft in a research note on Wednesday, September 23rd. They issued a "buy" rating on the stock. Forty-three research analysts have rated the stock with a Buy rating, four have given a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $570.62.

Microsoft News Summary

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Piper Sandler raised its price target to $610 from $550 and maintained an Overweight rating, citing improving estimates for Microsoft’s commercial cloud business and potential revenue from the new E7 enterprise licensing tier. Why is Microsoft stock up on Wednesday?
• Positive Sentiment: Microsoft’s revamped Copilot is becoming more enterprise-focused, while usage-based billing expected to begin in November could simplify adoption and improve monetization. Analysts also see potential for paid Copilot seats to continue expanding rapidly. What a Revamped Copilot Means for Microsoft Stock
• Positive Sentiment: Microsoft is bringing OpenAI’s autonomous “Dots” agents into its enterprise security and governance framework, strengthening its position in workplace AI. A long-term Xbox publishing agreement with Take-Two also supports the gaming ecosystem. Microsoft Brings OpenAI’s Autonomous Dots AI Workers Into the Enterprise
• Neutral Sentiment: Microsoft has delivered a substantial quarterly rally, but its valuation remains below its recent average P/E despite strong Azure growth, expanding Copilot demand and a sizable commercial backlog. This leaves room for additional upside, although expectations are already elevated. How Much Upside Is Left In Microsoft Stock?
• Negative Sentiment: Investors remain concerned that surging AI infrastructure spending could outpace free cash flow before Azure and Copilot returns fully materialize. Microsoft also warns that AI agents may weaken traditional software pricing power and customer loyalty. The AI Revolution Could Be Microsoft’s Next Trillion-Dollar Opportunity

Insider Buying and Selling

In related news, EVP Takeshi Numoto sold 4,810 shares of the business's stock in a transaction that occurred 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 transaction, the executive vice president owned 42,677 shares in the company, valued at $21,188,276.96. The trade was a 10.13% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP Amy Hood sold 41,674 shares of the company's stock in a transaction on 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 of the company's stock, valued at approximately $265,888,830.48. The trade was a 7.24% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 143,009 shares of company stock worth $71,420,699. Company insiders own 0.03% of the company's stock.

Microsoft Price Performance

Shares of NASDAQ:MSFT opened at $512.90 on Thursday. The company has a market cap of $3.81 trillion, a PE ratio of 28.56, a P/E/G ratio of 1.64 and a beta of 1.11. Microsoft Corporation has a fifty-two week low of $349.20 and a fifty-two week high of $553.72. The firm has a 50-day simple moving average of $484.74 and a 200 day simple moving average of $428.53. The company has a quick ratio of 1.22, a current ratio of 1.23 and a debt-to-equity ratio of 0.07.

Microsoft (NASDAQ:MSFT - Get Free Report) last issued its earnings results on Wednesday, July 29th. The software giant reported $4.74 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $4.24 by $0.50. Microsoft had a net margin of 40.31% and a return on equity of 31.98%. The firm had revenue of $90.01 billion for the quarter, compared to analysts' expectations of $87.62 billion. During the same quarter last year, the company posted $3.65 earnings per share. Microsoft's revenue was up 17.7% on a year-over-year basis. On average, sell-side analysts anticipate that Microsoft Corporation will post 19.62 EPS for the current year.

Microsoft Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, December 10th. Investors of record on Thursday, November 19th will be issued a $0.98 dividend. This is a positive change from Microsoft's previous quarterly dividend of $0.91. The ex-dividend date of this dividend is Thursday, November 19th. This represents a $3.92 annualized dividend and a dividend yield of 0.8%. Microsoft's dividend payout ratio (DPR) is 20.27%.

Microsoft Company Profile

Microsoft Corporation is a global technology company that develops software, cloud services, devices, gaming products and business solutions. Founded in 1975 by Bill Gates and Paul Allen, the company is best known for the Windows operating system and Microsoft Office productivity software. Microsoft is headquartered in Redmond, Washington, and serves consumers, businesses, governments and educational institutions worldwide.

Microsoft's productivity and business offerings include Microsoft 365 applications such as Word, Excel, PowerPoint and Outlook, along with collaboration tools including Teams.

Want to see what other hedge funds are holding MSFT? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Microsoft Corporation (NASDAQ:MSFT - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.