Microsoft Corporation $MSFT Stake Trimmed by Dock Street Asset Management Inc.

Dock Street Asset Management Inc. lessened its holdings in shares of Microsoft Corporation (NASDAQ:MSFT) by 2.4% in the 3rd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 110,136 shares of the software giant’s stock after selling 2,743 shares during the period. Microsoft comprises approximately 5.0% of Dock Street Asset Management Inc.’s investment portfolio, making the stock its 4th biggest position. Dock Street Asset Management Inc.’s holdings in Microsoft were worth $57,045,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. WFA Asset Management Corp increased its position in shares of Microsoft by 27.0% during the first quarter. WFA Asset Management Corp now owns 1,016 shares of the software giant’s stock worth $427,000 after acquiring an additional 216 shares during the period. Ironwood Wealth Management LLC. boosted its holdings in shares of Microsoft by 0.3% in the second quarter. Ironwood Wealth Management LLC. now owns 12,658 shares of the software giant’s stock valued at $5,658,000 after purchasing an additional 38 shares during the period. Discipline Wealth Solutions LLC grew its stake in Microsoft by 410.4% in the third quarter. Discipline Wealth Solutions LLC now owns 2,659 shares of the software giant’s stock worth $1,144,000 after purchasing an additional 2,138 shares in the last quarter. Wealth Group Ltd. increased its holdings in Microsoft by 1.2% during the 4th quarter. Wealth Group Ltd. now owns 2,374 shares of the software giant’s stock worth $1,000,000 after purchasing an additional 28 shares during the period. Finally, Eagle Capital Management LLC raised its position in Microsoft by 0.4% during the 4th quarter. Eagle Capital Management LLC now owns 23,097 shares of the software giant’s stock valued at $9,735,000 after purchasing an additional 96 shares in the last quarter. 71.13% of the stock is currently owned by hedge funds and other institutional investors.

Microsoft News Summary

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Quarterly beat — Microsoft reported $4.14 EPS and ~$81.3B revenue, topping consensus and reassuring investors on core demand. Microsoft beats Wall Street expectations with $81.3B revenue
• Positive Sentiment: OpenAI payoff — Microsoft recorded a ~$7.6B gain tied to OpenAI activity, which boosted non‑GAAP EPS and highlights monetization of its AI investments. Microsoft gained $7.6 billion from OpenAI last quarter
• Positive Sentiment: Cloud momentum — Azure and Microsoft Cloud continued strong growth (reports cite large percentage gains and Microsoft Cloud topping ~$50B quarterly), supporting the longer-term AI/cloud thesis. Microsoft beats Q2 earnings as Azure jumps 39%
• Positive Sentiment: AI infrastructure and long-term positioning — New Maia 200 AI chip rollout and approvals for more data centers support MSFT’s effort to control stack and reduce third‑party GPU exposure. Microsoft’s Maia 200: The Profit Engine AI Needs
• Neutral Sentiment: Guidance roughly in line but watched closely — Microsoft issued revenue guidance near the Street range (~$80.7B–$81.8B), leaving limited upside vs. elevated cloud expectations. See the company press materials for details. Microsoft earnings press release
• Neutral Sentiment: Mixed analyst activity — Some firms reiterated buys and raised targets (e.g., BNP Paribas/Raymond James), while others trimmed targets citing margin pressure; this produced divergent analyst reactions rather than a consensus swing. BNP Paribas raises price target
• Negative Sentiment: Record capex and AI hardware spending — Microsoft reported very large capital expenditures (well above some estimates), fueling investor concern about near‑term margin pressure and free‑cash‑flow timing. Microsoft drops after reporting record spending on AI hardware
• Negative Sentiment: Cloud growth expectations vs. reality — Headlines noting cloud growth “slowed” vs. sky‑high expectations and commentary that elevated cloud targets left limited upside helped trigger after‑hours selling. Microsoft edges past cloud growth expectations
• Negative Sentiment: Immediate market reaction — Despite the beat, traders sold after the report (several outlets flagged a sharp post‑earnings drop) as investors focused on capex, guidance nuance, and elevated expectations. Microsoft’s stock could see its sharpest post-earnings drop in over three years
• Negative Sentiment: Other headwinds — A few operational/competitive items (third‑party Xbox cancellations, France pulling back on videoconferencing contracts) were noted as marginal drags on sentiment. Microsoft slips on third-party Xbox game cancellations

Insider Activity at Microsoft

In other Microsoft news, EVP Takeshi Numoto sold 2,850 shares of the company’s stock in a transaction that occurred on Thursday, December 4th. The shares were sold at an average price of $478.72, for a total transaction of $1,364,352.00. Following the transaction, the executive vice president owned 55,782 shares in the company, valued at approximately $26,703,959.04. This represents a 4.86% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, CEO Judson Althoff sold 12,750 shares of the firm’s stock in a transaction on Tuesday, December 2nd. The stock was sold at an average price of $491.52, for a total transaction of $6,266,880.00. Following the completion of the transaction, the chief executive officer directly owned 129,349 shares of the company’s stock, valued at approximately $63,577,620.48. This represents a 8.97% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 54,100 shares of company stock valued at $27,598,872 in the last three months. 0.03% of the stock is owned by insiders.

Microsoft Price Performance

NASDAQ MSFT opened at $481.63 on Thursday. The firm’s fifty day simple moving average is $477.57 and its two-hundred day simple moving average is $500.68. The firm has a market capitalization of $3.58 trillion, a P/E ratio of 34.26, a P/E/G ratio of 1.94 and a beta of 1.07. The company has a current ratio of 1.40, a quick ratio of 1.39 and a debt-to-equity ratio of 0.10. Microsoft Corporation has a 12-month low of $344.79 and a 12-month high of $555.45.

Microsoft (NASDAQ:MSFT) last posted its quarterly earnings data on Wednesday, January 28th. The software giant reported $4.14 earnings per share for the quarter, topping analysts’ consensus estimates of $3.86 by $0.28. Microsoft had a return on equity of 32.45% and a net margin of 35.71%.The firm had revenue of $81.27 billion during the quarter, compared to analysts’ expectations of $80.28 billion. During the same quarter last year, the firm earned $3.23 EPS. The business’s quarterly revenue was up 16.7% on a year-over-year basis. Analysts forecast that Microsoft Corporation will post 13.08 EPS for the current fiscal year.

Microsoft Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, March 12th. Stockholders of record on Thursday, February 19th will be issued a dividend of $0.91 per share. The ex-dividend date is Thursday, February 19th. This represents a $3.64 annualized dividend and a dividend yield of 0.8%. Microsoft’s dividend payout ratio is 25.89%.

Analysts Set New Price Targets

MSFT has been the topic of several research reports. Daiwa Capital Markets cut their price target on Microsoft from $640.00 to $630.00 and set a “buy” rating on the stock in a research note on Friday, November 7th. Evercore ISI set a $640.00 target price on shares of Microsoft in a report on Thursday, October 30th. JPMorgan Chase & Co. restated a “buy” rating on shares of Microsoft in a report on Wednesday, November 19th. Barclays lowered their price target on shares of Microsoft from $625.00 to $610.00 and set an “overweight” rating for the company in a research report on Monday, January 12th. Finally, Mizuho reduced their price objective on shares of Microsoft from $640.00 to $620.00 and set an “outperform” rating for the company in a research note on Wednesday, January 21st. Three investment analysts have rated the stock with a Strong Buy rating, thirty-five have assigned a Buy rating and three have issued a Hold rating to the company’s stock. According to data from MarketBeat, Microsoft presently has an average rating of “Buy” and a consensus price target of $612.58.

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).