Microsoft (NASDAQ:MSFT) Stock Price Down 0.5% – Here’s Why

Microsoft Co. (NASDAQ:MSFT) was down 0.5% during trading on Monday . The stock traded as low as $405.88 and last traded at $408.43. Approximately 22,671,838 shares were traded during mid-day trading, a decline of 0% from the average daily volume of 22,704,654 shares. The stock had previously closed at $410.54.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently weighed in on the stock. JPMorgan Chase & Co. cut their target price on shares of Microsoft from $470.00 to $465.00 and set an “overweight” rating on the stock in a research note on Thursday, October 31st. Royal Bank of Canada reiterated an “outperform” rating and set a $500.00 target price on shares of Microsoft in a report on Thursday, January 30th. Piper Sandler reissued an “overweight” rating and issued a $520.00 target price on shares of Microsoft in a research report on Monday, January 27th. TD Cowen dropped their price target on Microsoft from $495.00 to $475.00 and set a “buy” rating on the stock in a research report on Thursday, October 31st. Finally, DA Davidson reiterated a “neutral” rating and issued a $425.00 price objective on shares of Microsoft in a report on Thursday, January 30th. Three investment analysts have rated the stock with a hold rating and twenty-seven have given a buy rating to the stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus target price of $510.96.

Microsoft Price Performance

The stock has a market capitalization of $3.08 trillion, a P/E ratio of 33.40, a PEG ratio of 2.17 and a beta of 0.90. The company has a debt-to-equity ratio of 0.13, a quick ratio of 1.34 and a current ratio of 1.35. The firm has a fifty day moving average price of $427.33 and a two-hundred day moving average price of $422.79.

Microsoft (NASDAQ:MSFT) 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 net margin of 35.43% and a return on equity of 33.36%. During the same quarter in the previous year, the firm posted $2.93 EPS. As a group, analysts expect that Microsoft Co. will post 13.07 EPS for the current fiscal year.

Microsoft Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, March 13th. Stockholders of record on Thursday, February 20th will be paid a $0.83 dividend. The ex-dividend date of this dividend is Thursday, February 20th. This represents a $3.32 dividend on an annualized basis and a dividend yield of 0.80%. Microsoft’s dividend payout ratio (DPR) is presently 26.73%.

Insider Activity

In related news, EVP Judson Althoff sold 25,000 shares of the firm’s stock in a transaction on Friday, November 22nd. The shares were sold at an average price of $417.00, for a total value of $10,425,000.00. Following the completion of the transaction, the executive vice president now directly owns 117,294 shares of the company’s stock, valued at approximately $48,911,598. This trade represents a 17.57 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CMO Takeshi Numoto sold 1,000 shares of the business’s stock in a transaction dated Friday, November 22nd. The stock was sold at an average price of $414.72, for a total transaction of $414,720.00. Following the completion of the sale, the chief marketing officer now owns 57,511 shares in the company, valued at approximately $23,850,961.92. This trade represents a 1.71 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 34,000 shares of company stock worth $14,333,540 over the last ninety days. Corporate insiders own 0.03% of the company’s stock.

Institutional Investors Weigh In On Microsoft

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Fiduciary Advisors Inc. purchased a new position in shares of Microsoft during the fourth quarter valued at approximately $38,000. Christopher J. Hasenberg Inc raised its holdings in shares of 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 in the last quarter. Quarry LP purchased a new stake in shares of Microsoft in the 2nd quarter worth approximately $45,000. IFS Advisors LLC lifted its holdings in Microsoft by 53.8% during the fourth quarter. IFS Advisors LLC now owns 100 shares of the software giant’s stock worth $42,000 after buying an additional 35 shares during the period. Finally, LSV Asset Management bought a new stake in Microsoft during the fourth quarter valued at about $44,000. 71.13% of the stock is currently 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.