TMB Capital Partners LLC Makes New $5.75 Million Investment in Microsoft Corporation $MSFT

TMB Capital Partners LLC purchased a new position in shares of Microsoft Corporation (NASDAQ:MSFT) during the 4th quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm purchased 11,889 shares of the software giant’s stock, valued at approximately $5,750,000. Microsoft comprises approximately 2.0% of TMB Capital Partners LLC’s portfolio, making the stock its 12th biggest holding.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. ARK & TLK Investments LLC raised its stake 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 worth $1,002,000 after buying an additional 20 shares during the period. Rochester Wealth Strategies LLC raised its stake in Microsoft by 2.9% during the 3rd quarter. Rochester Wealth Strategies LLC now owns 700 shares of the software giant’s stock worth $363,000 after acquiring an additional 20 shares during the period. Longfellow Investment Management Co. LLC raised its stake in Microsoft by 51.3% during the 2nd quarter. Longfellow Investment Management Co. LLC now owns 59 shares of the software giant’s stock worth $29,000 after acquiring an additional 20 shares during the period. Shepherd Kaplan Krochuk LLC lifted its holdings in Microsoft by 4.9% during 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. Finally, Fischer Investment Strategies LLC boosted its position in shares of Microsoft by 3.1% in the fourth quarter. Fischer Investment Strategies LLC now owns 697 shares of the software giant’s stock worth $337,000 after purchasing an additional 21 shares during the period. 71.13% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on MSFT. President Capital increased their price objective on shares of Microsoft from $500.00 to $520.00 and gave the stock a “buy” rating in a research note on Thursday, April 30th. Wedbush reaffirmed an “outperform” rating and issued a $575.00 target price on shares of Microsoft in a report on Wednesday, May 13th. DA Davidson cut their price target on Microsoft from $650.00 to $550.00 and set a “buy” rating for the company in a research note on Thursday, April 30th. Scotiabank decreased their price target on Microsoft from $600.00 to $550.00 and set an “outperform” rating on the stock in a report on Thursday, April 30th. Finally, TD Cowen restated a “buy” rating and issued a $540.00 price objective on shares of Microsoft in a research report on Thursday, June 4th. Forty-one research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $561.20.

Microsoft Price Performance

Shares of Microsoft stock opened at $379.40 on Friday. The firm has a market cap of $2.82 trillion, a PE ratio of 22.58, a PEG ratio of 1.36 and a beta of 1.11. The stock has a 50 day moving average of $412.27 and a 200 day moving average of $425.90. The company has a current ratio of 1.28, a quick ratio of 1.27 and a debt-to-equity ratio of 0.08. Microsoft Corporation has a 12 month low of $356.28 and a 12 month high of $555.45.

Microsoft (NASDAQ:MSFT) last released its quarterly earnings data 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 business had revenue of $82.89 billion for 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%.The company’s revenue was up 18.3% compared to the same quarter last year. During the same quarter in the previous year, the company posted $3.46 EPS. On average, research analysts expect that Microsoft Corporation will post 16.76 EPS for the current fiscal year.

Microsoft Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders of record on Thursday, August 20th will be given a dividend of $0.91 per share. The ex-dividend date is Thursday, August 20th. This represents a $3.64 annualized dividend and a yield of 1.0%. Microsoft’s dividend payout ratio (DPR) is 21.67%.

Key Headlines Impacting Microsoft

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Microsoft is reportedly building a more than $1 billion annual AI and cloud business with ByteDance in China, underscoring strong demand for its Azure and OpenAI-related services. Microsoft Scores Massive China AI Win as TikTok Parent Eyes $1 Billion Spend
• Positive Sentiment: OpenAI’s push to monetize ChatGPT with ads highlights continued AI commercialization, which may support sentiment around Microsoft’s OpenAI stake and AI strategy. OpenAI Brings ChatGPT Ads to Japan
• Neutral Sentiment: Microsoft is said to be moving Copilot to usage-based pricing and exploring cheaper AI models, a sign it is trying to improve margins as AI infrastructure costs rise. Microsoft (MSFT) Moves Copilot To Usage Based Pricing As AI Costs Rise
• Negative Sentiment: Several reports say investors are increasingly worried about Microsoft’s AI valuation, spending, and monetization, which is weighing on the stock. Microsoft Faces AI Expectations Test
• Negative Sentiment: Microsoft is also facing securities class-action lawsuits and investigations over alleged misleading AI-related statements, adding legal uncertainty. Bronstein, Gewirtz & Grossman LLC Urges Microsoft Corporation Investors to Act: Class Action Filed Alleging Investor Harm
• Negative Sentiment: Reports that Microsoft walked away from a potential $3 billion Oracle cloud deal suggest possible friction in securing additional cloud capacity. Why Microsoft Stock Slumped Today

Insiders Place Their Bets

In other news, CEO Judson Althoff sold 15,500 shares of the business’s stock in a transaction dated Monday, June 1st. The shares were sold at an average price of $460.99, for a total value of $7,145,345.00. Following the sale, the chief executive officer directly owned 110,477 shares in the company, valued at $50,928,792.23. The trade was a 12.30% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, EVP Amy Coleman sold 1,262 shares of the company’s stock in a transaction dated Thursday, May 14th. The shares were sold at an average price of $411.34, for a total transaction of $519,111.08. Following the sale, the executive vice president owned 46,003 shares in the company, valued at $18,922,874.02. This represents a 2.67% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 23,762 shares of company stock valued at $10,508,361 in the last three months. Corporate insiders own 0.03% of the company’s stock.

About Microsoft

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).