Investors Buy Microsoft (MSFT) on Weakness

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Investors bought shares of Microsoft Co. (NASDAQ:MSFT) on weakness during trading hours on Monday. $278.76 million flowed into the stock on the tick-up and $239.25 million flowed out of the stock on the tick-down, for a money net flow of $39.51 million into the stock. Of all companies tracked, Microsoft had the 7th highest net in-flow for the day. Microsoft traded down ($0.71) for the day and closed at $106.87

A number of research analysts recently commented on the company. Oppenheimer set a $120.00 price target on Microsoft and gave the company a “buy” rating in a research note on Monday. Goldman Sachs Group set a $123.00 price target on Microsoft and gave the company a “buy” rating in a research note on Monday. Barclays reaffirmed a “buy” rating and issued a $117.00 price target on shares of Microsoft in a research note on Friday, August 10th. Credit Suisse Group reaffirmed a “buy” rating and issued a $125.00 price target on shares of Microsoft in a research note on Tuesday, August 7th. Finally, BidaskClub downgraded Microsoft from a “strong-buy” rating to a “buy” rating in a research note on Tuesday, July 31st. One analyst has rated the stock with a sell rating, three have issued a hold rating, thirty-one have given a buy rating and one has issued a strong buy rating to the stock. Microsoft presently has a consensus rating of “Buy” and an average price target of $118.11.

The firm has a market capitalization of $839.28 billion, a price-to-earnings ratio of 27.64, a PEG ratio of 2.08 and a beta of 1.18. The company has a quick ratio of 2.86, a current ratio of 2.90 and a debt-to-equity ratio of 0.94.

Microsoft (NASDAQ:MSFT) last released its quarterly earnings results on Thursday, July 19th. The software giant reported $1.13 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $1.08 by $0.05. The company had revenue of $30.09 billion for the quarter, compared to analysts’ expectations of $29.23 billion. Microsoft had a return on equity of 36.69% and a net margin of 15.02%. The business’s quarterly revenue was up 17.5% compared to the same quarter last year. During the same period in the previous year, the business posted $0.75 earnings per share. equities analysts forecast that Microsoft Co. will post 4.25 EPS for the current fiscal year.

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 13th. Stockholders of record on Thursday, August 16th will be issued a dividend of $0.42 per share. This represents a $1.68 annualized dividend and a dividend yield of 1.57%. The ex-dividend date of this dividend is Wednesday, August 15th. Microsoft’s dividend payout ratio (DPR) is currently 43.30%.

In related news, Director Sandra E. Peterson bought 5,400 shares of Microsoft stock in a transaction that occurred on Tuesday, June 5th. The shares were acquired at an average cost of $101.96 per share, for a total transaction of $550,584.00. Following the completion of the acquisition, the director now directly owns 5,400 shares of the company’s stock, valued at approximately $550,584. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Satya Nadella sold 328,000 shares of the company’s stock in a transaction that occurred on Friday, August 10th. The shares were sold at an average price of $109.44, for a total value of $35,896,320.00. Following the completion of the sale, the chief executive officer now owns 778,596 shares in the company, valued at $85,209,546.24. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 442,880 shares of company stock worth $48,304,569. Company insiders own 1.49% of the company’s stock.

Hedge funds have recently made changes to their positions in the stock. Peak Capital Management LLC bought a new position in shares of Microsoft during the 2nd quarter worth approximately $107,000. Fort L.P. bought a new position in shares of Microsoft during the 2nd quarter worth approximately $119,000. WP Advisors LLC bought a new position in shares of Microsoft during the 2nd quarter worth approximately $131,000. Live Your Vision LLC boosted its holdings in shares of Microsoft by 58.7% during the 2nd quarter. Live Your Vision LLC now owns 1,376 shares of the software giant’s stock worth $140,000 after buying an additional 509 shares in the last quarter. Finally, CX Institutional bought a new position in shares of Microsoft during the 2nd quarter worth approximately $145,000. Institutional investors and hedge funds own 72.34% of the company’s stock.

Microsoft Company Profile (NASDAQ:MSFT)

Microsoft Corporation develops, licenses, and supports software, services, devices, and solutions worldwide. The company operates through Productivity and Business Processes, Intelligent Cloud, and More Personal Computing segments. The Productivity and Business Processes segment offers Office 365 commercial products and services for businesses, such as Office, Exchange, SharePoint, Skype for Business, Microsoft Teams, and related Client Access Licenses (CALs); Office 365 consumer services, including Skype, Outlook.com, and OneDrive; LinkedIn online professional network; and Dynamics business solutions comprising financial management, enterprise resource planning, customer relationship management, supply chain management, and analytics applications for small and medium businesses, large organizations, and divisions of enterprises.

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