Microsoft Corporation $MSFT is Vaughan David Investments LLC IL’s 2nd Largest Position

Vaughan David Investments LLC IL decreased its stake in Microsoft Corporation (NASDAQ:MSFT) by 1.9% in the fourth quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 279,545 shares of the software giant’s stock after selling 5,515 shares during the quarter. Microsoft makes up about 2.9% of Vaughan David Investments LLC IL’s holdings, making the stock its 2nd biggest position. Vaughan David Investments LLC IL’s holdings in Microsoft were worth $135,194,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other hedge funds and other institutional investors also recently added to or reduced their stakes in the stock. Longfellow Investment Management Co. LLC grew its holdings in Microsoft by 51.3% during the 2nd quarter. Longfellow Investment Management Co. LLC now owns 59 shares of the software giant’s stock valued at $29,000 after buying an additional 20 shares in the last quarter. Magnolia Capital Management Ltd. grew its holdings in shares of Microsoft by 0.3% in the third quarter. Magnolia Capital Management Ltd. now owns 6,509 shares of the software giant’s stock valued at $3,371,000 after purchasing an additional 20 shares in the last quarter. ARK & TLK Investments LLC grew its holdings in shares of Microsoft by 1.0% in the third quarter. ARK & TLK Investments LLC now owns 1,935 shares of the software giant’s stock valued at $1,002,000 after purchasing an additional 20 shares in the last quarter. Rochester Wealth Strategies LLC grew its holdings in shares of Microsoft by 2.9% in the third quarter. Rochester Wealth Strategies LLC now owns 700 shares of the software giant’s stock valued at $363,000 after purchasing an additional 20 shares in the last quarter. Finally, Shepherd Kaplan Krochuk LLC grew its holdings in shares of Microsoft by 4.9% in the third quarter. Shepherd Kaplan Krochuk LLC now owns 431 shares of the software giant’s stock valued at $223,000 after purchasing an additional 20 shares in the last quarter. Hedge funds and other institutional investors own 71.13% of the company’s stock.

Insider Buying and Selling

In other news, EVP Takeshi Numoto sold 2,500 shares of Microsoft stock in a transaction on Monday, June 8th. The stock was sold at an average price of $412.45, for a total transaction of $1,031,125.00. Following the completion of the sale, the executive vice president directly owned 51,968 shares in the company, valued at approximately $21,434,201.60. This trade represents a 4.59% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP Amy Coleman sold 1,262 shares of Microsoft stock in a transaction on Thursday, May 14th. The stock was sold at an average price of $411.34, for a total value of $519,111.08. Following the sale, the executive vice president owned 46,003 shares of the company’s stock, valued at approximately $18,922,874.02. This trade represents a 2.67% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 19,262 shares of company stock worth $8,695,581 over the last three months. 0.03% of the stock is owned by insiders.

Wall Street Analysts Forecast Growth

MSFT has been the subject of a number of recent research reports. Bank of America initiated coverage on shares of Microsoft in a report on Tuesday, March 24th. They issued a “buy” rating and a $500.00 target price for the company. BMO Capital Markets cut their target price on shares of Microsoft from $575.00 to $505.00 and set an “outperform” rating for the company in a report on Tuesday, April 28th. HSBC cut their target price on shares of Microsoft from $593.00 to $571.00 in a report on Thursday, April 30th. Guggenheim reissued a “buy” rating and issued a $586.00 target price on shares of Microsoft in a report on Thursday, April 30th. Finally, Robert W. Baird cut their target price on shares of Microsoft from $540.00 to $500.00 and set an “outperform” rating for the company in a report on Wednesday, April 15th. Forty-one research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $561.20.

Key Stories Impacting Microsoft

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Microsoft continues to win business tied to AI infrastructure, including a new 260 MW solar supply deal for its power needs, supporting long-term cloud growth. MN8 Energy Delivers 260 MW of Solar to Microsoft Across Two U.S. Power Markets
• Positive Sentiment: Microsoft declared a quarterly dividend of $0.91 per share, reinforcing shareholder returns and signaling financial strength. Microsoft announces quarterly dividend
• Positive Sentiment: Analysts remain upbeat on Microsoft’s AI strategy, with recent coverage calling MSFT a long-term buying opportunity as it expands Copilot and agentic AI. Microsoft Remains A Generational Buying Opportunity In The Agentic AI Era
• Neutral Sentiment: CEO Satya Nadella’s comments about using the right AI model for the job suggest a push for efficiency, but also highlight Microsoft’s effort to control AI compute costs. Satya Nadella Warns Against AI Overuse
• Neutral Sentiment: Microsoft’s limits on Anthropic’s Claude usage point to tighter AI governance, but the direct financial impact appears limited for now. Microsoft limits employee use of Anthropic’s Claude Fable 5
• Negative Sentiment: Reports that Xbox is preparing major layoffs and a reset add to concerns about cost pressure and slower growth in gaming. Microsoft’s Xbox plans for major layoffs next month
• Negative Sentiment: News that Microsoft is cutting jobs in its Azure unit in China is weighing on sentiment around near-term cloud execution and geopolitical risk. Microsoft lays off hundreds from Azure unit in China
• Negative Sentiment: Broader caution about the AI data-center buildout suggests investors are questioning how quickly Microsoft’s heavy AI spending will translate into profits. Wall Street’s $800 Billion AI Data Center Bet Is Showing Cracks

Microsoft Stock Down 1.8%

Shares of MSFT opened at $390.34 on Friday. The company has a market cap of $2.90 trillion, a PE ratio of 23.23, a P/E/G ratio of 1.43 and a beta of 1.11. The business has a fifty day moving average of $410.65 and a 200 day moving average of $429.22. Microsoft Corporation has a 52-week low of $356.28 and a 52-week high of $555.45. The company has a quick ratio of 1.27, a current ratio of 1.28 and a debt-to-equity ratio of 0.08.

Microsoft (NASDAQ:MSFT) last issued its quarterly earnings results on Wednesday, April 29th. The software giant reported $4.27 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $4.06 by $0.21. The company had revenue of $82.89 billion during the quarter, compared to the consensus estimate of $81.44 billion. Microsoft had a return on equity of 31.94% and a net margin of 39.34%.Microsoft’s revenue was up 18.3% on a year-over-year basis. During the same period last year, the company earned $3.46 earnings per share. On average, sell-side analysts expect that Microsoft Corporation will post 16.76 EPS for the current year.

Microsoft Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Thursday, August 20th will be given a $0.91 dividend. The ex-dividend date is Thursday, August 20th. This represents a $3.64 dividend on an annualized basis and a yield of 0.9%. Microsoft’s dividend payout ratio (DPR) is currently 21.67%.

Microsoft Company Profile

Microsoft Corporation is a global technology company headquartered in Redmond, Washington. Founded in 1975 by Bill Gates and Paul Allen, Microsoft develops, licenses and supports a broad range of software products, services and devices for consumers, enterprises and governments worldwide. Its operations span personal computing, productivity software, cloud infrastructure, enterprise applications, developer tools and gaming.

Microsoft’s product portfolio includes the Windows operating system and the Microsoft 365 suite of productivity and collaboration tools (Office apps, Outlook, Teams).