Microsoft Corporation (NASDAQ:MSFT) Receives $631.03 Average PT from Analysts

Shares of Microsoft Corporation (NASDAQ:MSFT) have been assigned a consensus recommendation of “Moderate Buy” from the forty-three ratings firms that are covering the company, Marketbeat reports. Four research analysts have rated the stock with a hold recommendation, thirty-seven have assigned a buy recommendation and two have given a strong buy recommendation to the company. The average twelve-month price target among brokerages that have covered the stock in the last year is $631.0263.

A number of analysts recently weighed in on the company. Guggenheim set a $675.00 price objective on Microsoft in a report on Wednesday, November 19th. The Goldman Sachs Group reiterated a “buy” rating and issued a $630.00 price target on shares of Microsoft in a research report on Tuesday, October 28th. KeyCorp restated an “overweight” rating on shares of Microsoft in a research report on Thursday, October 30th. Wells Fargo & Company upped their target price on Microsoft from $675.00 to $700.00 and gave the company an “overweight” rating in a report on Thursday, October 30th. Finally, Weiss Ratings reissued a “buy (b)” rating on shares of Microsoft in a research report on Wednesday, October 8th.

Key Headlines Impacting Microsoft

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Broad Wall Street bullishness: dozens of analysts rate MSFT a buy, with a recent median price target near $639 — supporting upside expectations and helping underpin demand from institutional investors. Wall Street Says Microsoft Is a ‘Strong Buy.’ Let’s Look at Who Owns MSFT Stock?
• Positive Sentiment: AI-driven upside: multiple forecasts (including a 30% upside scenario) and analyst narrative center on Copilot/Azure AI monetization as the primary catalyst for revenue and multiple expansion in 2026. Investors buying AI growth stories may support the stock. Microsoft stock forecast: Why AI keeps 30% upside on the table for MSFT in 2026
• Positive Sentiment: Street narratives argue Microsoft could reach ~$5 trillion market value if AI monetization, Azure traction and margin expansion continue — a storyline that attracts long-term growth investors. Why analysts think this company could touch $5 trillion valuation in early 2026
• Neutral Sentiment: Mixed positioning and ownership flows: large institutional rebalances are visible — some firms (e.g., UBS and BlackRock) added material shares while others trimmed — meaning volume/flow dynamics can cause short-term volatility even as the long-term story remains intact. Microsoft Stock (MSFT) Opinions on AI and Cloud Expansion
• Neutral Sentiment: “Lagging the market” vs. moat debate: commentary notes MSFT underperformed the S&P in 2025 but highlights entrenched enterprise switching costs and recurring revenue that can stabilize the stock — impact depends on execution and visible Copilot monetization. Microsoft Is Lagging the Market—But Its Moat May Matter More in 2026
• Negative Sentiment: Insider selling and valuation concerns: recent data shows notable insider sales and recurring investor questions about MSFT’s premium multiple and heavy AI capex — these factors can pressure the stock if investors want clearer, near-term proof of AI revenue gains. Microsoft Stock (MSFT) Opinions on AI and Cloud Expansion
• Negative Sentiment: Competition and macro/flow risks: escalating AI buildouts from rivals (e.g., xAI/others) and the company’s large near-term capex plan raise investor scrutiny on timing of returns — any slowdown in visible AI monetization or broader market rotations can drive further weakness. Elon Musk Says xAI Purchased Third Building For Massive AI Expansion

Insider Buying and Selling

In related news, insider Bradford L. Smith sold 38,500 shares of the business’s stock in a transaction on Monday, November 3rd. The shares were sold at an average price of $518.64, for a total value of $19,967,640.00. Following the transaction, the insider owned 461,597 shares in the company, valued at $239,402,668.08. The trade was a 7.70% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, EVP Takeshi Numoto sold 2,850 shares of the company’s stock in a transaction 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 sale, the executive vice president directly owned 55,782 shares in the company, valued at $26,703,959.04. This trade represents a 4.86% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 54,100 shares of company stock valued at $27,598,872 over the last quarter. Insiders own 0.03% of the company’s stock.

Institutional Trading of Microsoft

Several large investors have recently modified their holdings of MSFT. AlphaQuest LLC increased its holdings in shares of Microsoft by 5.9% during the second quarter. AlphaQuest LLC now owns 342 shares of the software giant’s stock valued at $170,000 after acquiring an additional 19 shares in the last quarter. BLVD Private Wealth LLC increased its stake in Microsoft by 0.6% during the 3rd quarter. BLVD Private Wealth LLC now owns 3,169 shares of the software giant’s stock valued at $1,641,000 after purchasing an additional 19 shares in the last quarter. PMV Capital Advisers LLC raised its holdings in Microsoft by 5.9% during the second quarter. PMV Capital Advisers LLC now owns 359 shares of the software giant’s stock worth $178,000 after buying an additional 20 shares during the last quarter. Seek First Inc. raised its holdings in Microsoft by 1.5% during the second quarter. Seek First Inc. now owns 1,358 shares of the software giant’s stock worth $675,000 after buying an additional 20 shares during the last quarter. Finally, Level Financial Advisors lifted its stake in shares of Microsoft by 0.8% in the second quarter. Level Financial Advisors now owns 2,680 shares of the software giant’s stock valued at $1,333,000 after buying an additional 20 shares in the last quarter. Institutional investors and hedge funds own 71.13% of the company’s stock.

Microsoft Stock Performance

Microsoft stock opened at $483.62 on Tuesday. The business has a 50 day moving average of $494.48 and a 200-day moving average of $503.72. The company has a market capitalization of $3.59 trillion, a P/E ratio of 34.40, a P/E/G ratio of 1.81 and a beta of 1.07. Microsoft has a 1 year low of $344.79 and a 1 year high of $555.45. The company has a debt-to-equity ratio of 0.10, a current ratio of 1.40 and a quick ratio of 1.39.

Microsoft (NASDAQ:MSFT) last posted its earnings results on Wednesday, October 29th. The software giant reported $4.13 earnings per share for the quarter, topping analysts’ consensus estimates of $3.65 by $0.48. The firm had revenue of $77.67 billion for the quarter, compared to analyst estimates of $75.49 billion. Microsoft had a net margin of 35.71% and a return on equity of 32.45%. The company’s revenue for the quarter was up 18.4% compared to the same quarter last year. During the same period in the previous year, the firm posted $3.30 EPS. On average, equities research analysts predict that Microsoft will post 13.08 earnings per share for the current year.

Microsoft Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, March 12th. Stockholders of record on Thursday, February 19th will be given 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%.

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).