What is KeyCorp's Forecast for Microsoft Q1 Earnings?

Key Points

• KeyCorp predicts Microsoft will earn $3.66 per share in Q1 2026, with target prices from other analysts ranging up to $650.00.
• Microsoft reported $3.65 earnings per share last quarter, exceeding the consensus estimate of $3.35, along with revenues of $76.44 billion.
• Microsoft has announced a quarterly dividend of $0.83 per share, reflecting a 0.6% dividend yield with a payout ratio of 24.34%.

Microsoft Corporation (NASDAQ:MSFT - Free Report) - Equities researchers at KeyCorp issued their Q1 2026 earnings per share (EPS) estimates for shares of Microsoft in a report issued on Wednesday, July 30th. KeyCorp analyst J. Ader anticipates that the software giant will post earnings of $3.66 per share for the quarter. KeyCorp has a "Overweight" rating and a $630.00 price objective on the stock. The consensus estimate for Microsoft's current full-year earnings is $13.08 per share. KeyCorp also issued estimates for Microsoft's Q2 2026 earnings at $3.89 EPS, Q3 2026 earnings at $3.91 EPS, FY2027 earnings at $18.05 EPS, FY2028 earnings at $21.35 EPS and FY2029 earnings at $25.96 EPS.

Microsoft (NASDAQ:MSFT - Get Free Report) last announced its quarterly earnings results on Wednesday, July 30th. The software giant reported $3.65 EPS for the quarter, beating the consensus estimate of $3.35 by $0.30. The business had revenue of $76.44 billion for the quarter, compared to analyst estimates of $73.79 billion. Microsoft had a return on equity of 32.44% and a net margin of 36.15%. Microsoft's quarterly revenue was up 18.1% on a year-over-year basis. During the same quarter in the previous year, the firm earned $2.95 EPS.

Other equities analysts have also issued research reports about the company. Raymond James Financial increased their target price on Microsoft from $490.00 to $570.00 and gave the company an "outperform" rating in a research note on Monday. UBS Group reiterated a "buy" rating and set a $650.00 price objective (up from $600.00) on shares of Microsoft in a report on Thursday. Piper Sandler raised their price target on Microsoft from $600.00 to $650.00 and gave the company an "overweight" rating in a research note on Thursday. Needham & Company LLC reissued a "buy" rating on shares of Microsoft in a report on Thursday, May 1st. Finally, Guggenheim restated a "neutral" rating on shares of Microsoft in a research note on Thursday, May 1st. Three equities research analysts have rated the stock with a hold rating and thirty have issued a buy rating to the stock. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $609.86.

Microsoft Trading Down 1.8%

Shares of MSFT traded down $9.39 during trading hours on Friday, hitting $524.11. 28,948,527 shares of the stock traded hands, compared to its average volume of 17,331,950. The company has a current ratio of 1.35, a quick ratio of 1.36 and a debt-to-equity ratio of 0.12. Microsoft has a 1-year low of $344.79 and a 1-year high of $555.45. The firm has a market capitalization of $3.90 trillion, a PE ratio of 38.42, a price-to-earnings-growth ratio of 2.39 and a beta of 1.06. The business has a fifty day moving average of $489.94 and a 200-day moving average of $434.88.

Microsoft Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 11th. Investors of record on Thursday, August 21st will be paid a dividend of $0.83 per share. This represents a $3.32 dividend on an annualized basis and a yield of 0.6%. The ex-dividend date of this dividend is Thursday, August 21st. Microsoft's dividend payout ratio is 24.34%.

Insider Buying and Selling at Microsoft

In related news, EVP Amy Coleman sold 13,243 shares of the company's stock in a transaction that occurred on Thursday, May 15th. The stock was sold at an average price of $452.01, for a total transaction of $5,985,968.43. Following the transaction, the executive vice president directly owned 43,100 shares of the company's stock, valued at approximately $19,481,631. This represents a 23.50% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP Kathleen T. Hogan sold 21,500 shares of the company's stock in a transaction that occurred on Wednesday, May 21st. The stock was sold at an average price of $453.77, for a total value of $9,756,055.00. Following the transaction, the executive vice president directly owned 134,888 shares in the company, valued at approximately $61,208,127.76. This trade represents a 13.75% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 60,743 shares of company stock worth $27,520,933 in the last quarter. Company insiders own 0.03% of the company's stock.

Hedge Funds Weigh In On Microsoft

Several institutional investors have recently modified their holdings of MSFT. AlphaQuest LLC lifted its position in shares of Microsoft by 5.9% during the second quarter. AlphaQuest LLC now owns 342 shares of the software giant's stock worth $170,000 after acquiring an additional 19 shares in the last quarter. PMV Capital Advisers LLC increased its stake in Microsoft by 5.9% in the second quarter. PMV Capital Advisers LLC now owns 359 shares of the software giant's stock valued at $178,000 after acquiring an additional 20 shares during the last quarter. Seek First Inc. grew its stake in shares of Microsoft by 1.5% during the second quarter. Seek First Inc. now owns 1,358 shares of the software giant's stock valued at $675,000 after buying an additional 20 shares during the last quarter. Level Financial Advisors grew its stake in shares of Microsoft by 0.8% during the second quarter. Level Financial Advisors now owns 2,680 shares of the software giant's stock valued at $1,333,000 after buying an additional 20 shares during the last quarter. Finally, Red Mountain Financial LLC boosted its holdings in shares of Microsoft by 0.7% during the second quarter. Red Mountain Financial LLC now owns 2,761 shares of the software giant's stock worth $1,373,000 after purchasing an additional 20 shares during the period. 71.13% of the stock is owned by institutional investors.

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.