Microsoft (NASDAQ:MSFT) Shares Down 0.9% - Should You Sell?

Microsoft Co. (NASDAQ:MSFT - Get Free Report) shares fell 0.9% during mid-day trading on Wednesday . The stock traded as low as $404.37 and last traded at $407.81. 5,945,858 shares traded hands during trading, a decline of 73% from the average session volume of 21,726,900 shares. The stock had previously closed at $411.44.

Analyst Upgrades and Downgrades

Several brokerages recently issued reports on MSFT. KeyCorp lifted their target price on Microsoft from $490.00 to $505.00 and gave the company an "overweight" rating in a research note on Friday, October 18th. StockNews.com raised Microsoft from a "hold" rating to a "buy" rating in a research note on Wednesday, January 22nd. Mizuho reduced their price objective on Microsoft from $510.00 to $500.00 and set an "outperform" rating on the stock in a research note on Thursday, January 30th. Citigroup reduced their price objective on Microsoft from $500.00 to $497.00 and set a "buy" rating on the stock in a research note on Wednesday, October 23rd. Finally, UBS Group reduced their price objective on Microsoft from $525.00 to $510.00 and set a "buy" rating on the stock in a research note on Thursday, January 30th. Three research analysts have rated the stock with a hold rating and twenty-seven have issued a buy rating to the stock. According to MarketBeat, Microsoft has an average rating of "Moderate Buy" and a consensus target price of $510.96.

Microsoft Price Performance

The company has a current ratio of 1.35, a quick ratio of 1.34 and a debt-to-equity ratio of 0.13. The stock has a market cap of $3.04 trillion, a PE ratio of 32.88, a P/E/G ratio of 2.21 and a beta of 0.90. The company has a fifty day moving average of $428.76 and a 200-day moving average of $422.94.

Microsoft (NASDAQ:MSFT - Get Free Report) last issued its quarterly earnings results on Wednesday, January 29th. The software giant reported $3.23 earnings per share for the quarter, topping the consensus estimate of $3.15 by $0.08. Microsoft had a return on equity of 33.36% and a net margin of 35.43%. During the same quarter in the prior year, the business posted $2.93 EPS. Sell-side analysts expect that Microsoft Co. will post 13.07 EPS for the current fiscal year.

Microsoft Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, March 13th. Stockholders of record on Thursday, February 20th will be given a dividend of $0.83 per share. The ex-dividend date is Thursday, February 20th. This represents a $3.32 annualized dividend and a dividend yield of 0.81%. Microsoft's dividend payout ratio is currently 26.73%.

Insider Transactions at Microsoft

In related news, EVP Judson Althoff sold 25,000 shares of the company's stock in a transaction dated Friday, November 22nd. The stock was sold at an average price of $417.00, for a total value of $10,425,000.00. Following the completion of the sale, the executive vice president now directly owns 117,294 shares of the company's stock, valued at $48,911,598. This represents a 17.57 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CMO Takeshi Numoto sold 1,000 shares of the company's stock in a transaction dated Wednesday, November 27th. The shares were sold at an average price of $423.48, for a total value of $423,480.00. Following the completion of the sale, the chief marketing officer now directly owns 56,511 shares of the company's stock, valued at approximately $23,931,278.28. This trade represents a 1.74 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 34,000 shares of company stock valued at $14,333,540. 0.03% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Microsoft

A number of large investors have recently modified their holdings of MSFT. Fiduciary Advisors Inc. purchased a new position in Microsoft during the fourth quarter worth $38,000. Christopher J. Hasenberg Inc boosted its holdings in Microsoft by 35.7% in the third quarter. Christopher J. Hasenberg Inc now owns 95 shares of the software giant's stock valued at $39,000 after acquiring an additional 25 shares during the last quarter. IFS Advisors LLC boosted its holdings in Microsoft by 53.8% in the fourth quarter. IFS Advisors LLC now owns 100 shares of the software giant's stock valued at $42,000 after acquiring an additional 35 shares during the last quarter. LSV Asset Management acquired a new position in Microsoft in the fourth quarter valued at $44,000. Finally, Quarry LP acquired a new position in Microsoft in the second quarter valued at $45,000. 71.13% of the stock is owned by hedge funds and other institutional investors.

About Microsoft

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.