Microsoft (NASDAQ:MSFT) Shares Down 2.3% Following Insider Selling

Microsoft Corporation (NASDAQ:MSFT) shares fell 2.3% on Wednesday following insider selling activity. The stock traded as low as $518.45 and last traded at $521.13. Approximately 28,379,817 shares changed hands during mid-day trading, a decline of 15% from the average daily volume of 33,442,879 shares. The stock had previously closed at $533.16.

Specifically, EVP Amy Hood sold 7,305 shares of the company’s stock in a transaction dated Monday, November 9th. The shares were sold at an average price of $544.37, for a total transaction of $3,976,622.85. Following the sale, the executive vice president directly owned 548,091 shares of the company’s stock, valued at $298,364,297.67. This represents a 1.32% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Analyst Ratings Changes

MSFT has been the subject of several recent research reports. Benchmark reiterated a “buy” rating on shares of Microsoft in a research note on Friday, July 24th. Roth Capital began coverage on shares of Microsoft in a research note on Friday. They set a “buy” rating on the stock. Citizens Jmp raised their price objective on shares of Microsoft from $550.00 to $625.00 and gave the stock a “market outperform” rating in a report on Thursday, October 29th. William Blair started coverage on shares of Microsoft in a report on Monday, October 5th. They issued an “outperform” rating for the company. Finally, Evercore upgraded shares of Microsoft from an “underperform” rating to an “outperform” rating in a research note on Monday, October 5th. One analyst has rated the stock with a Strong Buy rating, forty-six have given a Buy rating and four have assigned a Hold rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $609.54.

Trending Headlines about Microsoft

These are some of the MSFT headlines that stood out recently:

• Positive Sentiment: Evercore downplayed immediate disruption fears, saying Anthropic’s Claude Sheets is not yet a substitute for Excel. Microsoft’s latest reported quarter also beat earnings and revenue estimates, with revenue up 18.8% year over year. Evercore assesses Claude Sheets competition
• Neutral Sentiment: Microsoft is pressing the U.S. administration to abandon a proposed ban on Chinese data-center technology, warning it could complicate equipment access and data-center deployment. The impact depends on the policy outcome. Microsoft pushes back on proposed Chinese technology ban
• Negative Sentiment: Reporting on OpenAI’s large quarterly adjusted operating loss has raised questions about the profitability of Microsoft’s major AI bet. Investors are also weighing the scale of AI and data-center spending against potential future returns. OpenAI losses raise questions about Microsoft’s investment

Microsoft Stock Performance

The company has a 50-day moving average price of $517.80 and a two-hundred day moving average price of $441.10. The stock has a market capitalization of $3.87 trillion, a P/E ratio of 27.20, a PEG ratio of 1.61 and a beta of 1.05. The company has a quick ratio of 1.21, a current ratio of 1.22 and a debt-to-equity ratio of 0.07.

Microsoft (NASDAQ:MSFT) last issued its quarterly earnings data on Wednesday, October 28th. The software giant reported $4.89 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $4.72 by $0.17. Microsoft had a return on equity of 31.28% and a net margin of 41.17%. The company had revenue of $92.28 billion for the quarter, compared to the consensus estimate of $90.62 billion. During the same quarter last year, the business posted $4.13 earnings per share. The firm’s revenue was up 18.8% compared to the same quarter last year. Equities analysts expect that Microsoft Corporation will post 19.87 earnings per share for the current year.

Microsoft Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, December 10th. Shareholders of record on Thursday, November 19th will be given a dividend of $0.98 per share. The ex-dividend date is Thursday, November 19th. This is an increase from Microsoft’s previous quarterly dividend of $0.91. This represents a $3.92 dividend on an annualized basis and a yield of 0.8%. Microsoft’s dividend payout ratio (DPR) is 19.00%.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in the business. Advisors Asset Management Inc. bought a new position in Microsoft during the 3rd quarter valued at approximately $161,508,000. Balanced Wealth Group LLC grew its position in shares of Microsoft by 5.4% in the 3rd quarter. Balanced Wealth Group LLC now owns 1,955 shares of the software giant’s stock worth $1,020,000 after buying an additional 100 shares during the last quarter. Private Wealth Asset Management LLC increased its stake in shares of Microsoft by 135.5% during the third quarter. Private Wealth Asset Management LLC now owns 116,593 shares of the software giant’s stock valued at $61,866,000 after buying an additional 67,077 shares during the period. Alteri Wealth LLC increased its stake in shares of Microsoft by 9.0% during the third quarter. Alteri Wealth LLC now owns 22,335 shares of the software giant’s stock valued at $11,456,000 after buying an additional 1,845 shares during the period. Finally, Trailhead Planners LLC raised its holdings in shares of Microsoft by 2.2% during the third quarter. Trailhead Planners LLC now owns 939 shares of the software giant’s stock valued at $482,000 after acquiring an additional 20 shares in the last quarter. 71.13% of the stock is owned by hedge funds and other institutional investors.

About Microsoft

Microsoft Corporation is a global technology company that develops software, cloud services, devices, and digital solutions for consumers, businesses, and public-sector organizations. Founded in 1975 by Bill Gates and Paul Allen, the company is headquartered in Redmond, Washington. Its products and services include the Windows operating system, Microsoft 365 productivity applications, Azure cloud computing, LinkedIn, GitHub, Surface devices, and Xbox gaming products and services. Microsoft also provides business software, cybersecurity tools, and artificial intelligence technologies.