Stifel Nicolaus lowered shares of Microsoft Corp. (NASDAQ:MSFT) from a buy rating to a hold rating in a report released on Tuesday, TheFlyOnTheWall.com reports. Stifel Nicolaus currently has $36.00 price objective on the stock.
“We are lowering our rating on MSFT to Hold from Buy and removing our $36 target-price, as we are growing increasingly concerned pricing-pressures and heightened Windows S&M expenses could be a meaningful headwind to revenue/EPS growth in coming-years. As such, we think Street revenue/EPS estimates are too high for 1Q14 and FY14. Although we think MSFT’s software-business (MBD and S&T) and enterprise-story is robust and worth ~$33-$34/share, we believe the Windows headwinds are more substantial than we envisioned a few months ago, especially as it relates to potential ASP-contraction. Given these dynamics and current-valuation, we view the risk/reward as fairly evenly-skewed and expect the shares to perform in-line with peers.,” Stifel Nicolaus’ analyst wrote.
A number of other analysts have also recently weighed in on MSFT. Analysts at Evercore Partners upgraded shares of Microsoft Corp. from an equal weight rating to an overweight rating in a research note to investors on Thursday, August 8th. They now have a $38.00 price target on the stock, up previously from $35.00. They noted that the move was a valuation call. Separately, analysts at TheStreet reiterated a buy rating on shares of Microsoft Corp. in a research note to investors on Tuesday, August 6th. Finally, analysts at Thomson Reuters/Verus upgraded shares of Microsoft Corp. from a hold rating to a buy rating in a research note to investors on Monday, July 29th.
Two equities research analysts have rated the stock with a sell rating, twenty-four have issued a hold rating and twelve have given a buy rating to the company’s stock. The company has a consensus rating of Hold and a consensus target price of $34.00.
Microsoft Corp. (NASDAQ:MSFT) opened at 32.35 on Tuesday. Microsoft Corp. has a 52-week low of $26.26 and a 52-week high of $36.43. The stock’s 50-day moving average is currently $33.30. The company has a market cap of $269.5 billion and a price-to-earnings ratio of 12.54. Microsoft Corp. also was the target of some unusual options trading activity on Monday. Traders acquired 324,480 call options on the stock, Analyst Ratings Network.com reports.This represents an increase of approximately 218% compared to the average volume of 102,141 call options.
In other Microsoft Corp. news, EVP Tami Reller sold 5,800 shares of Microsoft Corp. stock in a transaction that occured on Thursday, August 1st. The stock was sold at an average price of $32.09, for a total transaction of $186,122.00. The transaction was disclosed in a filing with the SEC, which is available at this link.
Microsoft Corporation is engaged in developing, licensing and supporting a range of software products and services.
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