Willis Investment Counsel Purchases 2,246 Shares of Microsoft Corporation $MSFT

Key Points

• Willis Investment Counsel increased its stake in Microsoft (MSFT) by 2.0%, buying 2,246 shares to hold 113,070 shares worth $54.68 million, making MSFT its third-largest position.
• Microsoft beat Q results—EPS $4.14 vs. $3.86 and revenue $81.27B (up 16.7% YoY)—and announced a $0.91 quarterly dividend ($3.64 annual, 0.9% yield).
• Near-term catalysts and risks: institutional ownership is ~71%, notable investor moves and a A$25B Australia AI/cloud investment support the stock, but AI security flaws, layoffs and upcoming earnings create downside risk; consensus rating is a "Moderate Buy" with an average price target of $575.34.

Willis Investment Counsel boosted its position in shares of Microsoft Corporation (NASDAQ:MSFT - Free Report) by 2.0% during the 4th quarter, according to the company in its most recent disclosure with the SEC. The firm owned 113,070 shares of the software giant's stock after buying an additional 2,246 shares during the quarter. Microsoft makes up 2.8% of Willis Investment Counsel's holdings, making the stock its 3rd biggest position. Willis Investment Counsel's holdings in Microsoft were worth $54,683,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors also recently added to or reduced their stakes in MSFT. Maseco LLP acquired a new stake in shares of Microsoft in the fourth quarter valued at about $1,525,000. Personal CFO Solutions LLC grew its position in shares of Microsoft by 2.8% in the fourth quarter. Personal CFO Solutions LLC now owns 35,655 shares of the software giant's stock valued at $17,243,000 after purchasing an additional 978 shares during the period. Hill Island Financial LLC grew its position in shares of Microsoft by 1.9% in the fourth quarter. Hill Island Financial LLC now owns 11,456 shares of the software giant's stock valued at $5,540,000 after purchasing an additional 210 shares during the period. Centennial Advisors LLC acquired a new stake in shares of Microsoft in the fourth quarter valued at about $453,000. Finally, Yarger Wealth Strategies LLC grew its position in shares of Microsoft by 1.4% in the fourth quarter. Yarger Wealth Strategies LLC now owns 6,268 shares of the software giant's stock valued at $3,031,000 after purchasing an additional 84 shares during the period. Institutional investors and hedge funds own 71.13% of the company's stock.

Microsoft Price Performance

Shares of MSFT stock opened at $424.54 on Monday. The company has a debt-to-equity ratio of 0.09, a current ratio of 1.39 and a quick ratio of 1.38. The firm's 50-day moving average is $393.48 and its two-hundred day moving average is $450.09. Microsoft Corporation has a 12 month low of $356.28 and a 12 month high of $555.45. The company has a market capitalization of $3.15 trillion, a PE ratio of 26.55, a price-to-earnings-growth ratio of 1.60 and a beta of 1.11.

Microsoft (NASDAQ:MSFT - Get Free Report) last issued its earnings results on Wednesday, January 28th. The software giant reported $4.14 EPS for the quarter, topping analysts' consensus estimates of $3.86 by $0.28. Microsoft had a net margin of 39.04% and a return on equity of 32.34%. The company had revenue of $81.27 billion for the quarter, compared to the consensus estimate of $80.28 billion. During the same period in the previous year, the firm earned $3.23 earnings per share. Microsoft's quarterly revenue was up 16.7% compared to the same quarter last year. Analysts predict that Microsoft Corporation will post 16.54 earnings per share for the current year.

Microsoft Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, June 11th. Shareholders of record on Thursday, May 21st will be paid a dividend of $0.91 per share. The ex-dividend date of this dividend is Thursday, May 21st. This represents a $3.64 dividend on an annualized basis and a yield of 0.9%. Microsoft's payout ratio is 22.76%.

Trending Headlines about Microsoft

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Michael Burry disclosed a new MSFT position after the stock fell ~25% from peaks, signaling confidence from a well-known value investor and likely encouraging other bargain hunters. Michael Burry Buys Microsoft (MSFT) Stock During 25% Decline From Peak
• Positive Sentiment: Microsoft announced A$25 billion to expand AI and cloud infrastructure, cybersecurity and skills in Australia through 2029 — a large, multi-year capex and revenue opportunity that supports long-term growth in cloud/AI. Microsoft (MSFT) Announces A$25B Investment in Australia’s AI and Cloud Infrastructure
• Positive Sentiment: UBS reiterated a “buy” rating on MSFT, and some funds (e.g., Cache Advisors LLC) increased holdings — institutional endorsements that can provide support into earnings. Microsoft Corp: UBS Reiterates Buy Rating
• Neutral Sentiment: Upcoming fiscal Q3 earnings (April 29) are the key near-term catalyst — previews show analysts expect solid results but also flag downside risk; strong results could restart a rally, weak guidance would likely extend the pullback. Microsoft Q3 Earnings Preview — Can Strong Results Restart the MSFT Stock Rally?
• Neutral Sentiment: Microsoft won local planning consent for a hyperscale data centre at Skelton Grange (via partner Harworth), a small but tangible sign of ongoing cloud footprint expansion. Harworth Wins Planning Go-Ahead for Microsoft Hyperscale Data Centre at Skelton Grange
• Neutral Sentiment: Product/OS updates (Windows Update controls, revamp to Insider program) are incremental user-experience improvements; positive for stewardship of the PC ecosystem but unlikely to move the stock alone. Microsoft Windows Update changes (Forbes summary)
• Negative Sentiment: Anthropic’s research flagged ~2,000 AI/security flaws broadly, prompting faster responses from Microsoft and peers — heightened scrutiny and potential remediation costs are a downside risk for AI product rollouts. Anthropic AI Finds 2,000 Flaws as Microsoft and Palo Alto Race to Respond
• Negative Sentiment: Broader tech layoffs and voluntary buyouts at Microsoft highlight restructuring; while cost cuts can improve margins long-term, they add execution risk and near-term uncertainty for growth initiatives. Why companies like Microsoft are offering voluntary buyouts
• Negative Sentiment: Macro caution: commentators note April’s momentum rally is drawing doubters — broader market volatility or a sentiment shift could amplify MSFT’s moves around earnings. Record-Setting Momentum Rally Is Drawing Doubters (Bloomberg)

Insider Transactions at Microsoft

In other Microsoft news, EVP Kathleen T. Hogan sold 12,321 shares of Microsoft stock in a transaction dated Friday, March 6th. The shares were sold at an average price of $409.52, for a total transaction of $5,045,695.92. Following the transaction, the executive vice president directly owned 137,933 shares of the company's stock, valued at $56,486,322.16. The trade was a 8.20% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director John W. Stanton bought 5,000 shares of Microsoft stock in a transaction on Wednesday, February 18th. The shares were purchased at an average cost of $397.35 per share, for a total transaction of $1,986,750.00. Following the completion of the purchase, the director directly owned 83,905 shares of the company's stock, valued at $33,339,651.75. This trade represents a 6.34% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. 0.03% of the stock is owned by insiders.

Analyst Ratings Changes

Several analysts have recently issued reports on the stock. Royal Bank Of Canada reiterated an "outperform" rating on shares of Microsoft in a research report on Monday, March 2nd. Piper Sandler lowered their price target on shares of Microsoft from $600.00 to $500.00 and set an "overweight" rating on the stock in a research report on Tuesday, April 14th. Cantor Fitzgerald restated an "overweight" rating and set a $590.00 price target on shares of Microsoft in a research report on Thursday, January 29th. Barclays restated an "overweight" rating on shares of Microsoft in a research report on Monday, March 9th. Finally, Phillip Securities upgraded shares of Microsoft from a "moderate buy" rating to a "strong-buy" rating in a research report on Sunday, February 1st. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-eight have issued a Buy rating and five have assigned a Hold rating to the stock. According to MarketBeat.com, Microsoft has a consensus rating of "Moderate Buy" and an average price target of $575.34.

About Microsoft

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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