Microsoft (NASDAQ:MSFT) Price Target Lowered to $625.00 at Wells Fargo & Company

Microsoft (NASDAQ:MSFT) had its target price decreased by Wells Fargo & Company from $650.00 to $625.00 in a research note issued to investors on Wednesday morning,Benzinga reports. Wells Fargo & Company currently has an overweight rating on the software giant’s stock.

Several other research analysts also recently issued reports on MSFT. Bank of America started coverage on shares of Microsoft in a report on Tuesday, March 24th. They set a “buy” rating and a $500.00 price objective on the stock. Deutsche Bank Aktiengesellschaft reduced their target price on shares of Microsoft from $575.00 to $550.00 and set a “buy” rating for the company in a research note on Thursday, April 30th. Dbs Bank decreased their target price on Microsoft from $678.00 to $573.00 in a research report on Thursday, May 7th. DA Davidson reaffirmed a “buy” rating and issued a $550.00 price target on shares of Microsoft in a report on Monday, July 6th. Finally, Truist Financial reduced their price objective on Microsoft from $675.00 to $575.00 and set a “buy” rating for the company in a research report on Thursday, April 30th. Forty-one research analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company’s stock. According to MarketBeat.com, Microsoft has an average rating of “Moderate Buy” and an average target price of $557.96.

Microsoft Stock Up 2.8%

MSFT opened at $395.63 on Wednesday. The business has a 50 day moving average of $401.10 and a 200-day moving average of $412.04. The stock has a market capitalization of $2.94 trillion, a price-to-earnings ratio of 23.55, a P/E/G ratio of 1.17 and a beta of 1.13. The company has a current ratio of 1.28, a quick ratio of 1.27 and a debt-to-equity ratio of 0.08. Microsoft has a 1-year low of $349.20 and a 1-year high of $555.45.

Microsoft (NASDAQ:MSFT) last announced its earnings results on Wednesday, April 29th. The software giant reported $4.27 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $4.06 by $0.21. The business had revenue of $82.89 billion for the quarter, compared to analyst estimates of $81.44 billion. Microsoft had a net margin of 39.34% and a return on equity of 31.94%. Microsoft’s revenue was up 18.3% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $3.46 earnings per share. As a group, sell-side analysts anticipate that Microsoft will post 16.71 earnings per share for the current year.

Microsoft Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders of record on Thursday, August 20th will be paid a dividend of $0.91 per share. The ex-dividend date is Thursday, August 20th. This represents a $3.64 dividend on an annualized basis and a yield of 0.9%. Microsoft’s dividend payout ratio (DPR) is currently 21.67%.

Insider Buying and Selling at Microsoft

In other news, EVP Amy Coleman sold 1,262 shares of the stock in a transaction that occurred on Thursday, May 14th. The stock was sold at an average price of $411.34, for a total value 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 position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, CEO Judson Althoff sold 15,500 shares of the firm’s stock in a transaction that occurred on Monday, June 1st. The stock was sold at an average price of $460.99, for a total value of $7,145,345.00. Following the transaction, the chief executive officer owned 110,477 shares of the company’s stock, valued at $50,928,792.23. This trade represents a 12.30% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 23,762 shares of company stock valued at $10,508,361. 0.03% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the stock. Longfellow Investment Management Co. LLC raised its stake in shares of Microsoft by 51.3% in the second quarter. Longfellow Investment Management Co. LLC now owns 59 shares of the software giant’s stock valued at $29,000 after acquiring an additional 20 shares during the last quarter. Bernzott Capital Advisors bought a new stake in Microsoft during the 4th quarter worth approximately $34,000. Timmons Wealth Management LLC bought a new stake in Microsoft during the 4th quarter worth approximately $36,000. Fairway Wealth LLC increased its holdings in Microsoft by 287.0% during the 4th quarter. Fairway Wealth LLC now owns 89 shares of the software giant’s stock valued at $43,000 after purchasing an additional 66 shares in the last quarter. Finally, Frankly Finances LLC acquired a new stake in Microsoft during the 2nd quarter valued at $35,000. 71.13% of the stock is currently owned by institutional investors and hedge funds.

Key Stories Impacting Microsoft

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Microsoft is pushing sales teams to sell its AI offerings as a more secure and lower-cost alternative to OpenAI and Anthropic, highlighting its ability to monetize enterprise demand and defend its AI ecosystem. Microsoft Coaches Sales Staff to Challenge OpenAI and Anthropic on Costs and Security
• Positive Sentiment: 3M announced a strategic partnership with Microsoft tied to Azure data centers and enterprise transformation, which adds another validation point for Microsoft’s cloud and AI infrastructure strategy. 3M and Microsoft announce strategic partnership to advance AI data center infrastructure and enterprise transformation
• Positive Sentiment: Microsoft is overhauling its cybersecurity business to capture more spending from AI-driven threats, which could open a new growth lane as customers increase security budgets. Microsoft (MSFT) Overhauls Cybersecurity Business to Cash In on AI Threats
• Positive Sentiment: Microsoft launched a $2.5 billion initiative to help large customers deploy AI systems around their own data and workflows, reinforcing its enterprise AI moat. How Microsoft (MSFT) Is Deepening Its Enterprise AI Moat With a $2.5 Billion Customer Deployment Initiative

Microsoft Company Profile

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).