Magellan Asset Management Ltd lowered its position in Microsoft Corporation (NASDAQ:MSFT – Free Report) by 5.9% in the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The firm owned 1,189,155 shares of the software giant’s stock after selling 74,076 shares during the quarter. Microsoft accounts for about 5.7% of Magellan Asset Management Ltd’s holdings, making the stock its 2nd largest position. Magellan Asset Management Ltd’s holdings in Microsoft were worth $440,190,000 at the end of the most recent reporting period.
A number of other large investors have also modified their holdings of MSFT. Norges Bank bought a new position in shares of Microsoft during the 4th quarter worth about $50,664,631,000. Auto Owners Insurance Co increased its stake in Microsoft by 56,160.8% in the fourth quarter. Auto Owners Insurance Co now owns 60,116,384 shares of the software giant’s stock valued at $29,073,486,000 after acquiring an additional 60,009,531 shares during the period. Nuveen LLC acquired a new position in Microsoft in the first quarter worth about $18,733,827,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its position in Microsoft by 500.0% in the third quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 59,543,261 shares of the software giant’s stock worth $30,840,432,000 after purchasing an additional 49,618,571 shares in the last quarter. Finally, Laurel Wealth Advisors LLC lifted its stake in Microsoft by 49,640.3% during the second quarter. Laurel Wealth Advisors LLC now owns 29,967,038 shares of the software giant’s stock worth $14,905,904,000 after purchasing an additional 29,906,791 shares during the period. 71.13% of the stock is currently owned by institutional investors and hedge funds.
Microsoft Stock Up 0.0%
NASDAQ MSFT opened at $499.99 on Friday. The stock’s 50 day simple moving average is $404.86 and its 200 day simple moving average is $406.96. Microsoft Corporation has a one year low of $349.20 and a one year high of $553.72. The firm has a market cap of $3.71 trillion, a PE ratio of 27.84, a price-to-earnings-growth ratio of 1.61 and a beta of 1.11. The company has a debt-to-equity ratio of 0.07, a current ratio of 1.23 and a quick ratio of 1.22.
Microsoft Announces Dividend
The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Thursday, August 20th will be issued a $0.91 dividend. This represents a $3.64 dividend on an annualized basis and a dividend yield of 0.7%. The ex-dividend date of this dividend is Thursday, August 20th. Microsoft’s payout ratio is currently 20.27%.
Wall Street Analyst Weigh In
A number of research firms have weighed in on MSFT. China Renaissance decreased their price objective on Microsoft from $630.00 to $550.00 and set a “buy” rating on the stock in a report on Monday, May 4th. Benchmark reissued a “buy” rating on shares of Microsoft in a report on Friday, July 24th. Robert W. Baird cut their target price on Microsoft from $540.00 to $500.00 and set an “outperform” rating for the company in a research report on Wednesday, April 15th. CLSA reaffirmed an “outperform” rating on shares of Microsoft in a research note on Thursday, July 30th. Finally, Sanford C. Bernstein increased their price objective on Microsoft from $646.00 to $647.00 and gave the stock an “outperform” rating in a research note on Thursday, July 30th. Forty-two investment analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $558.87.
View Our Latest Analysis on Microsoft
Microsoft News Summary
Here are the key news stories impacting Microsoft this week:
- Positive Sentiment: Citi raised its Microsoft price target to $600. The upgrade follows Microsoft’s quarterly Azure performance, with analysts highlighting the 43% cloud-revenue increase and stronger-than-expected earnings as evidence that AI demand is translating into accelerating cloud growth. Citi Raises Microsoft Stock Target to $600
- Positive Sentiment: Microsoft’s custom AI chips may improve cloud economics. CEO Satya Nadella said the company’s internally developed chips can deliver efficiency gains of up to 40%. Better cost and energy efficiency could help Microsoft support AI workloads while protecting Azure margins. Microsoft Custom AI Chips Improve Efficiency
- Positive Sentiment: Azure is expanding in India. Microsoft opened a major Hyderabad data-center region and is committing approximately $20.5 billion to its Indian cloud and AI operations. Early customers include Adani Group and HDFC Bank, supporting the case for long-term international Azure growth. Microsoft Opens Largest India Data Center Hub
- Positive Sentiment: Fundamentals and institutional support remain strong. Microsoft recently exceeded quarterly revenue and EPS expectations, while Bill Ackman’s Pershing Square holds a reported $2.4 billion MSFT position. Scotiabank also raised its fiscal 2027 EPS estimate and maintained an Outperform rating. Bill Ackman Microsoft Stake
- Neutral Sentiment: AI demand is powerful but concentrated. Reports suggest OpenAI may account for a substantial portion of Microsoft’s AI sales, creating both a major growth engine and customer-concentration risk. Microsoft’s large AI backlog also does not guarantee equivalent future profitability.
- Negative Sentiment: Spending, margins and valuation remain concerns. Rising data-center capital expenditures and lower cloud gross margins could pressure cash flow if AI infrastructure costs grow faster than revenue. After the sharp post-earnings rally, the stock is also more vulnerable to profit-taking or disappointing guidance.
- Negative Sentiment: Insider sales and securities litigation add headline risk. CEO Judson Althoff sold 10,000 shares for roughly $4.9 million, and multiple law firms are publicizing a securities class action with an August 11 lead-plaintiff deadline. These developments do not establish wrongdoing but may weigh on near-term sentiment.
Insider Buying and Selling
In other Microsoft news, EVP Takeshi Numoto sold 4,810 shares of the firm’s stock in a transaction dated Tuesday, August 4th. The shares were sold at an average price of $496.48, for a total value of $2,388,068.80. Following the completion of the sale, the executive vice president owned 42,677 shares in the company, valued at approximately $21,188,276.96. This trade represents a 10.13% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, EVP Amy Coleman sold 1,262 shares of the business’s stock in a transaction dated Thursday, May 14th. The stock was sold at an average price of $411.34, for a total transaction of $519,111.08. Following the completion of the transaction, the executive vice president directly owned 46,003 shares of the company’s stock, valued at approximately $18,922,874.02. This represents a 2.67% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 38,572 shares of company stock worth $17,775,330 in the last 90 days. 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).
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