Praxis Capital Management LLC Makes New $727,000 Investment in Microsoft Corporation $MSFT

Key Points

• Praxis Capital Management opened a new position in Microsoft during the fourth quarter, buying 1,504 shares valued at about $727,000. The stake represents roughly 2.6% of the fund’s portfolio.
• Microsoft continues to attract heavy institutional ownership, with large holders like Vanguard, State Street, and Geode adding to positions; overall, 71.13% of the stock is owned by hedge funds and other institutions.
• Analyst sentiment remains constructive despite some recent target cuts, with Microsoft holding a Moderate Buy consensus rating and an average price target of $561.20. The company also posted stronger-than-expected quarterly results, including $4.27 EPS and revenue growth of 18.3% year over year.

Praxis Capital Management LLC bought a new position in Microsoft Corporation (NASDAQ:MSFT - Free Report) in the 4th quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund bought 1,504 shares of the software giant's stock, valued at approximately $727,000. Microsoft accounts for approximately 2.6% of Praxis Capital Management LLC's portfolio, making the stock its 14th largest position.

Several other hedge funds and other institutional investors have also recently bought and sold shares of the company. Vanguard Group Inc. increased its stake in Microsoft by 2.3% in the fourth quarter. Vanguard Group Inc. now owns 717,942,580 shares of the software giant's stock valued at $347,211,391,000 after purchasing an additional 15,955,898 shares during the last quarter. State Street Corp increased its stake in Microsoft by 1.1% in the second quarter. State Street Corp now owns 299,196,519 shares of the software giant's stock valued at $148,823,341,000 after purchasing an additional 3,166,275 shares during the last quarter. Geode Capital Management LLC increased its stake in Microsoft by 2.0% in the second quarter. Geode Capital Management LLC now owns 179,001,751 shares of the software giant's stock valued at $88,714,256,000 after purchasing an additional 3,532,054 shares during the last quarter. Norges Bank acquired a new position in Microsoft in the second quarter valued at $50,493,678,000. Finally, Northern Trust Corp lifted its holdings in shares of Microsoft by 16.1% during the 4th quarter. Northern Trust Corp now owns 83,787,746 shares of the software giant's stock worth $35,316,535,000 after acquiring an additional 11,600,470 shares during the period. 71.13% of the stock is owned by hedge funds and other institutional investors.

Analyst Ratings Changes

Several research analysts have recently weighed in on MSFT shares. DA Davidson cut their price objective on shares of Microsoft from $650.00 to $550.00 and set a "buy" rating on the stock in a report on Thursday, April 30th. Robert W. Baird cut their price objective on shares of Microsoft from $540.00 to $500.00 and set an "outperform" rating on the stock in a report on Wednesday, April 15th. UBS Group reiterated a "buy" rating on shares of Microsoft in a report on Friday, April 24th. Rothschild & Co Redburn decreased their price target on shares of Microsoft from $450.00 to $400.00 and set a "neutral" rating on the stock in a report on Thursday, April 23rd. Finally, Melius Research set a $430.00 price target on shares of Microsoft in a report on Monday, February 9th. Forty-one analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company's stock. According to data from MarketBeat, Microsoft has a consensus rating of "Moderate Buy" and an average target price of $561.20.

Insiders Place Their Bets

In other Microsoft news, EVP Amy Coleman sold 1,262 shares of the business's stock in a transaction dated Thursday, May 14th. The stock was sold at an average price of $411.34, for a total transaction of $519,111.08. Following the transaction, the executive vice president owned 46,003 shares in the company, valued at $18,922,874.02. The trade was a 2.67% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CEO Judson Althoff sold 15,500 shares of the business's stock in a transaction dated Monday, June 1st. The stock was sold at an average price of $460.99, for a total value of $7,145,345.00. Following the transaction, the chief executive officer owned 110,477 shares in the company, valued at approximately $50,928,792.23. This represents a 12.30% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 0.03% of the company's stock.

Microsoft News Roundup

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Microsoft’s Build 2026 announcements and related coverage continued to reinforce the company’s AI growth story, including new in-house models, agent tools, Windows upgrades, and enterprise AI infrastructure that could deepen its competitive position. Analysts Say Buy Microsoft Stock (MSFT) after Build 2026 Reinforces AI Growth Story
• Positive Sentiment: Multiple articles highlighted Microsoft’s AI revenue run rate crossing $37 billion, suggesting strong monetization from Azure, Copilot, and enterprise AI offerings. Microsoft's AI Revenue Run Rate Just Crossed $37 Billion. Is It the Best AI Stock to Buy Now?
• Positive Sentiment: Wall Street sentiment remains supportive, with TD Cowen reiterating a buy rating and a $540 target, while other analysts and investors continue to frame Microsoft as a durable long-term AI and cloud leader. The Market Is Undervaluing Microsoft, Says Analyst
• Positive Sentiment: Bill Ackman’s bullish comments comparing Microsoft, Meta, and Amazon to long-term compounding opportunities also added to the constructive investment narrative around MSFT. Billionaire Investor Bill Ackman: Buying Microsoft, Meta, and Amazon Today Could Be Like Adding Buffett's Berkshire Hathaway 25 Years Ago
• Neutral Sentiment: Microsoft announced Reid Hoffman will leave its board after nearly a decade; the move appears planned, though it removes a board member closely associated with the LinkedIn/OpenAI relationship. LinkedIn co-founder Reid Hoffman to step down from Microsoft's board
• Neutral Sentiment: Microsoft is also attracting attention for broader AI ecosystem developments, including fusion power support from Helion and network-security integration for AI agents, which are positive long-term but not immediate stock catalysts. Helion, the Sam Altman-backed fusion startup, raises $465M to build a power plant for Microsoft
• Negative Sentiment: Several pieces flagged technical weakness in Microsoft’s chart and said the stock’s recent rejection at resistance could weigh on the broader software trade. Microsoft Stock Charts Look Vulnerable. Software Stocks Could Follow.
• Negative Sentiment: Commentary around Satya Nadella rebuking an internal “make people addicted” AI memo and renewed concern over Microsoft’s relationship with OpenAI may be creating some short-term reputational and partnership noise. Reid Hoffman to Leave Microsoft's Board of Directors

Microsoft Price Performance

MSFT opened at $416.67 on Monday. The firm has a 50 day moving average price of $407.63 and a 200 day moving average price of $431.54. The company has a market cap of $3.10 trillion, a PE ratio of 24.80, a price-to-earnings-growth ratio of 1.50 and a beta of 1.11. Microsoft Corporation has a 1 year low of $356.28 and a 1 year high of $555.45. The company has a debt-to-equity ratio of 0.08, a quick ratio of 1.27 and a current ratio of 1.28.

Microsoft (NASDAQ:MSFT - Get Free Report) last posted its earnings results on Wednesday, April 29th. The software giant reported $4.27 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $4.06 by $0.21. Microsoft had a net margin of 39.34% and a return on equity of 31.94%. The firm had revenue of $82.89 billion during the quarter, compared to the consensus estimate of $81.44 billion. During the same quarter in the prior year, the company earned $3.46 EPS. The company's revenue was up 18.3% on a year-over-year basis. Sell-side analysts expect that Microsoft Corporation will post 16.76 earnings per share for the current year.

Microsoft Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, June 11th. Stockholders of record on Thursday, May 21st will be paid a $0.91 dividend. This represents a $3.64 dividend on an annualized basis and a dividend yield of 0.9%. The ex-dividend date of this dividend is Thursday, May 21st. Microsoft's dividend payout ratio (DPR) is currently 21.67%.

Microsoft Profile

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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