Microsoft Corporation $MSFT Stock Purchased by QRG Capital Management Inc.

Key Points

• QRG Capital Management increased its Microsoft stake by 8.4% in the second quarter, adding 99,314 shares to hold 1,280,983 shares valued at about $477.8 million.
• Microsoft beat quarterly estimates, reporting earnings of $4.89 per share and revenue of $92.28 billion; revenue rose 18.8% year over year. Analysts’ consensus rating is “Moderate Buy,” with a $609.54 price target.
• Microsoft raised its quarterly dividend from $0.91 to $0.98 per share, equivalent to an annualized $3.92 and a 0.7% yield.

QRG Capital Management Inc. grew its position in shares of Microsoft Corporation (NASDAQ:MSFT - Free Report) by 8.4% during the second quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 1,280,983 shares of the software giant's stock after buying an additional 99,314 shares during the period. Microsoft accounts for 3.4% of QRG Capital Management Inc.'s investment portfolio, making the stock its 3rd largest position. QRG Capital Management Inc.'s holdings in Microsoft were worth $477,832,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds also recently made changes to their positions in MSFT. Box Hill Private Wealth LLC boosted its position in Microsoft by 0.5% during the second quarter. Box Hill Private Wealth LLC now owns 4,272 shares of the software giant's stock worth $1,593,000 after purchasing an additional 21 shares during the period. Strategic Wealth Advisors LLC raised its position in shares of Microsoft by 1.7% in the second quarter. Strategic Wealth Advisors LLC now owns 1,473 shares of the software giant's stock valued at $549,000 after purchasing an additional 24 shares during the period. Lee Johnson Capital Management LLC raised its position in shares of Microsoft by 3.8% in the second quarter. Lee Johnson Capital Management LLC now owns 687 shares of the software giant's stock valued at $256,000 after purchasing an additional 25 shares during the period. Mann Financial Group Inc. raised its position in shares of Microsoft by 1.3% in the second quarter. Mann Financial Group Inc. now owns 1,921 shares of the software giant's stock valued at $717,000 after purchasing an additional 25 shares during the period. Finally, Riverpoint Wealth Management Holdings LLC lifted its stake in shares of Microsoft by 0.5% during the 1st quarter. Riverpoint Wealth Management Holdings LLC now owns 5,543 shares of the software giant's stock valued at $2,052,000 after buying an additional 26 shares in the last quarter. Institutional investors own 71.13% of the company's stock.

Analyst Ratings Changes

Several research analysts recently commented on MSFT shares. Weiss Ratings raised shares of Microsoft from a "hold (c+)" rating to a "buy (b-)" rating in a report on Thursday, October 8th. UBS Group set a $700.00 target price on shares of Microsoft in a report on Thursday, October 29th. Argus dropped their target price on Microsoft from $620.00 to $510.00 and set a "buy" rating on the stock in a research report on Friday, July 10th. Wolfe Research upgraded Microsoft from a "hold" rating to a "strong-buy" rating in a research report on Thursday, October 29th. Finally, CLSA reaffirmed an "outperform" rating on shares of Microsoft in a report on Thursday, July 30th. One research analyst has rated the stock with a Strong Buy rating, forty-five have assigned a Buy rating and four have assigned a Hold rating to the stock. Based on data from MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus price target of $609.54.

Microsoft Price Performance

Shares of NASDAQ:MSFT opened at $535.93 on Friday. The company has a 50 day moving average of $516.13 and a 200 day moving average of $439.80. The stock has a market cap of $3.98 trillion, a P/E ratio of 27.97, a P/E/G ratio of 1.64 and a beta of 1.05. Microsoft Corporation has a 12 month low of $349.20 and a 12 month high of $559.15. The company has a current ratio of 1.22, a quick ratio of 1.21 and a debt-to-equity ratio of 0.07.

Microsoft (NASDAQ:MSFT - Get Free Report) last posted its earnings results on Wednesday, October 28th. The software giant reported $4.89 earnings per share for the quarter, topping analysts' consensus estimates of $4.72 by $0.17. Microsoft had a net margin of 41.17% and a return on equity of 31.28%. The business had revenue of $92.28 billion for the quarter, compared to analyst estimates of $90.62 billion. During the same quarter in the prior year, the firm posted $4.13 EPS. Microsoft's revenue was up 18.8% on a year-over-year basis. As a group, sell-side analysts forecast that Microsoft Corporation will post 19.89 EPS for the current fiscal year.

Microsoft Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, December 10th. Stockholders of record on Thursday, November 19th will be issued a $0.98 dividend. The ex-dividend date of this dividend is Thursday, November 19th. This is an increase from Microsoft's previous quarterly dividend of $0.91. This represents a $3.92 annualized dividend and a dividend yield of 0.7%. Microsoft's payout ratio is currently 20.46%.

Key Microsoft News

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Recent results provide a counterpoint: Microsoft beat quarterly earnings and revenue estimates, while strong Azure demand and AI adoption support growth in its cloud business. MSFT Q1 Earnings Call Highlights Azure Growth and AI Spending
• Neutral Sentiment: Microsoft’s decision not to take up an option to expand Nscale’s Texas data-center capacity appears connected to construction delays and tighter scrutiny of infrastructure partners. It may reflect capital discipline and project execution concerns, rather than a broad retreat from AI investment. Microsoft tightens oversight of neocloud data center projects
• Negative Sentiment: The abandoned expansion has stoked investor concerns about delayed AI capacity coming online and whether heavy data-center investment will generate sufficient cloud returns. Reports of an AI-spending shortfall have also weighed on sentiment toward infrastructure partners and Microsoft’s growth outlook. Why Microsoft Stock is Down Today
• Negative Sentiment: Technology shares sold off broadly late Thursday, adding sector-wide pressure to MSFT. Sector Update: Tech Stocks Tumble Late Afternoon

Insider Buying and Selling at Microsoft

In related news, CEO Satya Nadella sold 86,525 shares of the stock in a transaction on Tuesday, September 1st. The stock was sold at an average price of $501.46, for a total value of $43,388,826.50. Following the sale, 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 SEC, 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 Microsoft stock in a transaction on Monday, September 14th. The shares were sold at an average price of $498.27, for a total value of $20,764,903.98. Following the sale, the executive vice president directly owned 533,624 shares of the company's stock, valued at $265,888,830.48. This 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. In the last ninety days, insiders sold 135,504 shares of company stock worth $68,138,024. Insiders own 0.03% of the company's stock.

About Microsoft

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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