Microsoft Co. (NASDAQ:MSFT) Stake Reduced by Source Financial Advisors LLC

Source Financial Advisors LLC trimmed its stake in Microsoft Co. (NASDAQ:MSFT) by 0.5% during the third quarter, according to its most recent disclosure with the SEC. The fund owned 9,593 shares of the software giant’s stock after selling 53 shares during the quarter. Microsoft makes up about 1.2% of Source Financial Advisors LLC’s investment portfolio, making the stock its 19th largest holding. Source Financial Advisors LLC’s holdings in Microsoft were worth $4,128,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors also recently modified their holdings of the company. Christopher J. Hasenberg Inc boosted its stake in Microsoft by 169.2% during the 2nd quarter. Christopher J. Hasenberg Inc now owns 70 shares of the software giant’s stock valued at $31,000 after purchasing an additional 44 shares during the period. Quarry LP bought a new stake in shares of Microsoft during the second quarter valued at approximately $45,000. Innealta Capital LLC acquired a new position in shares of Microsoft during the second quarter worth approximately $75,000. Carolina Wealth Advisors LLC grew its holdings in Microsoft by 10.1% in the 3rd quarter. Carolina Wealth Advisors LLC now owns 338 shares of the software giant’s stock worth $145,000 after buying an additional 31 shares in the last quarter. Finally, MayTech Global Investments LLC acquired a new stake in Microsoft in the 2nd quarter valued at approximately $200,000. Institutional investors and hedge funds own 71.13% of the company’s stock.

Microsoft Price Performance

MSFT opened at $418.95 on Friday. Microsoft Co. has a 12-month low of $380.38 and a 12-month high of $468.35. The company has a quick ratio of 1.29, a current ratio of 1.30 and a debt-to-equity ratio of 0.15. The firm has a market capitalization of $3.11 trillion, a P/E ratio of 34.57, a PEG ratio of 2.37 and a beta of 0.90. The stock has a fifty day moving average of $428.83 and a 200-day moving average of $427.39.

Microsoft (NASDAQ:MSFT) last released its earnings results on Wednesday, October 30th. The software giant reported $3.30 earnings per share for the quarter, beating the consensus estimate of $3.10 by $0.20. The company had revenue of $65.59 billion for the quarter, compared to analysts’ expectations of $64.57 billion. Microsoft had a return on equity of 34.56% and a net margin of 35.61%. The business’s revenue for the quarter was up 16.0% on a year-over-year basis. During the same quarter in the previous year, the business posted $2.99 EPS. Equities analysts forecast that Microsoft Co. will post 12.93 EPS for the current fiscal year.

Microsoft declared that its Board of Directors has approved a share buyback plan on Monday, September 16th that authorizes the company to buyback $60.00 billion in outstanding shares. This buyback authorization authorizes the software giant to buy up to 1.9% of its shares through open market purchases. Shares buyback plans are often an indication that the company’s board believes its stock is undervalued.

Microsoft Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, March 13th. Shareholders of record on Thursday, February 20th will be paid a dividend of $0.83 per share. This represents a $3.32 dividend on an annualized basis and a dividend yield of 0.79%. The ex-dividend date is Thursday, February 20th. Microsoft’s dividend payout ratio (DPR) is currently 27.39%.

Insider Transactions at Microsoft

In other 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 transaction of $10,425,000.00. Following the transaction, the executive vice president now owns 117,294 shares in the company, valued at approximately $48,911,598. This trade represents a 17.57 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CMO Takeshi Numoto sold 2,500 shares of the company’s stock in a transaction on Monday, December 9th. The stock was sold at an average price of $447.41, for a total transaction of $1,118,525.00. Following the completion of the sale, the chief marketing officer now owns 49,352 shares of the company’s stock, valued at $22,080,578.32. This represents a 4.82 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 41,200 shares of company stock valued at $17,383,892. 0.03% of the stock is owned by insiders.

Wall Street Analysts Forecast Growth

Several research firms have recently issued reports on MSFT. JPMorgan Chase & Co. decreased their price target on Microsoft from $470.00 to $465.00 and set an “overweight” rating for the company in a research note on Thursday, October 31st. Loop Capital raised their target price on shares of Microsoft from $500.00 to $550.00 and gave the company a “buy” rating in a research note on Monday, December 23rd. Truist Financial reaffirmed a “buy” rating and issued a $600.00 price target on shares of Microsoft in a research note on Monday, October 28th. TD Cowen lowered their price objective on shares of Microsoft from $495.00 to $475.00 and set a “buy” rating on the stock in a research note on Thursday, October 31st. Finally, Morgan Stanley upped their target price on Microsoft from $506.00 to $548.00 and gave the stock an “overweight” rating in a research report on Thursday, October 31st. Two equities research analysts have rated the stock with a hold rating and twenty-eight have issued a buy rating to the stock. According to MarketBeat.com, Microsoft presently has a consensus rating of “Moderate Buy” and an average target price of $511.62.

Microsoft Profile

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.