Deutsche Bank Aktiengesellschaft Cuts Microsoft (NASDAQ:MSFT) Price Target to $575.00

Microsoft (NASDAQ:MSFT) had its price objective lowered by equities researchers at Deutsche Bank Aktiengesellschaft from $630.00 to $575.00 in a report issued on Thursday, MarketBeat Ratings reports. The brokerage currently has a “buy” rating on the software giant’s stock. Deutsche Bank Aktiengesellschaft’s price objective indicates a potential upside of 34.01% from the stock’s current price.

A number of other equities analysts have also recently commented on MSFT. Weiss Ratings reissued a “buy (b)” rating on shares of Microsoft in a report on Thursday, January 22nd. Oppenheimer reaffirmed an “outperform” rating on shares of Microsoft in a research report on Thursday, October 30th. TD Cowen cut their price target on Microsoft from $655.00 to $625.00 and set a “buy” rating for the company in a research note on Tuesday, January 20th. Morgan Stanley reissued an “overweight” rating on shares of Microsoft in a research report on Thursday. Finally, Citigroup dropped their price target on Microsoft from $690.00 to $660.00 and set a “buy” rating on the stock in a research report on Wednesday, January 21st. One equities research analyst has rated the stock with a Strong Buy rating, thirty-eight have assigned a Buy rating and three have given a Hold rating to the company’s stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $601.00.

Microsoft Price Performance

Shares of NASDAQ MSFT traded down $52.56 during mid-day trading on Thursday, hitting $429.07. 26,402,321 shares of the stock were exchanged, compared to its average volume of 26,422,932. Microsoft has a twelve month low of $344.79 and a twelve month high of $555.45. The company has a market cap of $3.19 trillion, a P/E ratio of 30.19, a PEG ratio of 1.94 and a beta of 1.07. The company has a debt-to-equity ratio of 0.10, a quick ratio of 1.39 and a current ratio of 1.40. The stock’s fifty day simple moving average is $477.57 and its two-hundred day simple moving average is $500.68.

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

Insider Activity

In other Microsoft news, EVP Takeshi Numoto sold 2,850 shares of Microsoft stock in a transaction dated Thursday, December 4th. The stock was sold at an average price of $478.72, for a total value of $1,364,352.00. Following the transaction, the executive vice president owned 55,782 shares in the company, valued at $26,703,959.04. The trade was a 4.86% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Judson Althoff sold 12,750 shares of Microsoft 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 sale, the chief executive officer owned 129,349 shares of the company’s stock, valued at $63,577,620.48. The trade was a 8.97% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 54,100 shares of company stock valued at $27,598,872. 0.03% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Microsoft

Large investors have recently added to or reduced their stakes in the stock. Longfellow Investment Management Co. LLC lifted its position in Microsoft by 51.3% during the second quarter. Longfellow Investment Management Co. LLC now owns 59 shares of the software giant’s stock valued at $29,000 after buying an additional 20 shares in the last quarter. Westend Capital Management LLC lifted its stake in Microsoft by 386.7% in the second quarter. Westend Capital Management LLC now owns 73 shares of the software giant’s stock valued at $36,000 after buying an additional 58 shares during the last quarter. Bayforest Capital Ltd acquired a new position in Microsoft during the 3rd quarter worth $38,000. Fairway Wealth LLC lifted its position in Microsoft by 287.0% in the fourth quarter. Fairway Wealth LLC now owns 89 shares of the software giant’s stock worth $43,000 after purchasing an additional 66 shares during the period. Finally, LSV Asset Management bought a new stake in Microsoft during the fourth quarter worth approximately $44,000. 71.13% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about Microsoft

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Beat on top and bottom lines — Microsoft delivered stronger-than-expected EPS and revenue, and Microsoft Cloud (Azure + related) topped $50B quarterly, validating demand for AI/cloud services. Read More.
• Positive Sentiment: OpenAI/contract backlog lifts future revenue visibility — Microsoft reported a large contracted backlog and meaningful direct OpenAI-related gains, increasing booked future revenue (RPO/backlog). This supports medium-term Azure growth expectations. Read More.
• Positive Sentiment: Strategic AI investments and product moves — New Maia 200 AI chip, multiple data-center approvals and AI co?innovation partnerships keep Microsoft positioned competitively in infrastructure and enterprise AI monetization. (Analysts at some shops reiterated/raised targets.) Read More.
• Neutral Sentiment: Mixed analyst reactions — Some firms trimmed near-term price targets or noted margin pressure, while others raised targets or kept Buy ratings; the net effect is divergent views that can widen intraday moves. Read More.
• Neutral Sentiment: Macro and sector context — Tech peers (e.g., Meta) showed clearer near-term AI payoff in ad revenue, which accentuated the market’s comparison between AI spending vs. visible monetization. That relative performance is driving rotation within mega-cap tech. Read More.
• Negative Sentiment: Record capex and AI spending worried investors — Microsoft disclosed very large capital expenditures and data-center spending (reported >$37B capex), raising concerns that heavy near-term investment is outpacing visible revenue/margin improvement. Read More.
• Negative Sentiment: Slowing Azure growth vs. expectations — Azure/cloud growth decelerated vs. prior quarters (investors wanted acceleration given the spending surge), prompting sell-side and quant repricing and the after?hours pullback. Read More.
• Negative Sentiment: Market punished stock despite beat — Coverage and commentary (Forbes, Bloomberg, CNBC summaries) emphasize that investors now demand clearer, near-term proof that AI investments will translate into faster revenue and margin expansion; that skepticism drove the immediate selloff. Read More.

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).