DA Davidson Has Positive View of Microsoft FY2025 Earnings

Microsoft Co. (NASDAQ:MSFT - Free Report) - Investment analysts at DA Davidson lifted their FY2025 earnings estimates for shares of Microsoft in a research note issued to investors on Thursday, May 1st. DA Davidson analyst G. Luria now anticipates that the software giant will earn $13.45 per share for the year, up from their prior forecast of $12.87. DA Davidson currently has a "Buy" rating and a $500.00 price target on the stock. The consensus estimate for Microsoft's current full-year earnings is $13.08 per share. DA Davidson also issued estimates for Microsoft's FY2026 earnings at $14.26 EPS.

Microsoft (NASDAQ:MSFT - Get Free Report) last released its quarterly earnings results on Wednesday, April 30th. The software giant reported $3.46 earnings per share for the quarter, beating the consensus estimate of $3.22 by $0.24. Microsoft had a net margin of 35.43% and a return on equity of 33.36%. The company had revenue of $70.07 billion during the quarter, compared to analysts' expectations of $68.54 billion. During the same quarter in the prior year, the company earned $2.94 earnings per share. The business's quarterly revenue was up 13.3% compared to the same quarter last year.

Other analysts also recently issued research reports about the company. Benchmark reaffirmed a "buy" rating on shares of Microsoft in a research report on Thursday. Wedbush upped their price objective on Microsoft from $475.00 to $515.00 and gave the stock an "outperform" rating in a research note on Thursday. Barclays raised their target price on shares of Microsoft from $430.00 to $494.00 and gave the company an "overweight" rating in a research note on Thursday. Scotiabank upped their price target on shares of Microsoft from $470.00 to $500.00 and gave the stock a "sector outperform" rating in a research report on Thursday. Finally, Bank of America cut their price target on shares of Microsoft from $510.00 to $480.00 and set a "buy" rating for the company in a research note on Tuesday, April 15th. Six equities research analysts have rated the stock with a hold rating and thirty have issued a buy rating to the stock. According to MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $507.77.

Microsoft Stock Up 0.2 %

NASDAQ MSFT traded up $0.89 during trading on Monday, hitting $436.17. The stock had a trading volume of 20,112,843 shares, compared to its average volume of 21,367,112. Microsoft has a 12 month low of $344.79 and a 12 month high of $468.35. The company has a debt-to-equity ratio of 0.13, a quick ratio of 1.34 and a current ratio of 1.35. The company's 50-day moving average price is $384.93 and its two-hundred day moving average price is $411.03. The company has a market capitalization of $3.24 trillion, a PE ratio of 35.12, a P/E/G ratio of 2.21 and a beta of 0.99.

Microsoft Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, June 12th. Stockholders of record on Thursday, May 15th will be given a dividend of $0.83 per share. The ex-dividend date of this dividend is Thursday, May 15th. This represents a $3.32 dividend on an annualized basis and a dividend yield of 0.76%. Microsoft's payout ratio is 25.66%.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of MSFT. HighPoint Advisor Group LLC grew its stake in Microsoft by 0.9% during the first quarter. HighPoint Advisor Group LLC now owns 194,619 shares of the software giant's stock worth $76,688,000 after buying an additional 1,744 shares in the last quarter. Crestwood Advisors Group LLC boosted its position in shares of Microsoft by 0.5% during the 1st quarter. Crestwood Advisors Group LLC now owns 559,049 shares of the software giant's stock worth $209,862,000 after acquiring an additional 2,866 shares in the last quarter. Kingsman Wealth Management Inc. bought a new position in Microsoft in the first quarter valued at approximately $4,813,000. Lewis Asset Management LLC raised its position in Microsoft by 2.6% during the first quarter. Lewis Asset Management LLC now owns 10,094 shares of the software giant's stock valued at $3,789,000 after purchasing an additional 260 shares in the last quarter. Finally, PCA Investment Advisory Services Inc. lifted its stake in Microsoft by 23.0% during the first quarter. PCA Investment Advisory Services Inc. now owns 13,087 shares of the software giant's stock worth $4,913,000 after purchasing an additional 2,447 shares during the last quarter. Institutional investors own 71.13% of the company's stock.

Microsoft Company Profile

Microsoft Corporation develops and supports software, services, devices and solutions worldwide. The Productivity and Business Processes segment offers office, exchange, SharePoint, Microsoft Teams, office 365 Security and Compliance, Microsoft viva, and Microsoft 365 copilot; and office consumer services, such as Microsoft 365 consumer subscriptions, Office licensed on-premises, and other office services.