Microsoft (NASDAQ:MSFT) Price Target Raised to $515.00

Microsoft (NASDAQ:MSFT) had its price target boosted by investment analysts at BMO Capital Markets from $500.00 to $515.00 in a report issued on Thursday. The firm presently has an “outperform” rating on the software giant’s stock. BMO Capital Markets’ target price suggests a potential upside of 31.87% from the company’s current price.

MSFT has been the topic of a number of other reports. China Renaissance dropped their target price on Microsoft from $630.00 to $550.00 and set a “buy” rating on the stock in a research report on Monday, May 4th. Citizens Jmp reiterated a “market outperform” rating and set a $550.00 price target on shares of Microsoft in a research report on Tuesday. Citigroup reaffirmed a “market outperform” rating on shares of Microsoft in a research note on Tuesday. Mizuho reduced their price objective on shares of Microsoft from $515.00 to $490.00 and set an “outperform” rating for the company in a research report on Wednesday, July 15th. Finally, Stifel Nicolaus decreased their price objective on shares of Microsoft from $415.00 to $400.00 and set a “hold” rating on the stock in a report on Thursday, June 25th. Forty-two investment analysts have rated the stock with a Buy rating and six have given a Hold rating to the company’s stock. According to data from MarketBeat, Microsoft currently has a consensus rating of “Moderate Buy” and an average price target of $555.44.

Microsoft Trading Down 0.7%

Shares of NASDAQ:MSFT opened at $390.54 on Thursday. 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 12-month low of $349.20 and a 12-month high of $555.45. The business has a 50 day moving average of $396.43 and a two-hundred day moving average of $405.74. The company has a market capitalization of $2.90 trillion, a PE ratio of 23.25, a PEG ratio of 1.20 and a beta of 1.13.

Microsoft (NASDAQ:MSFT) last posted its earnings results on Wednesday, July 29th. The software giant reported $4.74 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.24 by $0.50. Microsoft had a net margin of 39.34% and a return on equity of 31.94%. The firm had revenue of $90.01 billion during the quarter, compared to analysts’ expectations of $87.62 billion. During the same period in the previous year, the business posted $3.65 EPS. The business’s revenue was up 17.7% compared to the same quarter last year. As a group, analysts forecast that Microsoft will post 16.7 EPS for the current year.

Insider Transactions at Microsoft

In other news, EVP Amy Coleman sold 1,262 shares of the firm’s stock in a transaction dated Thursday, May 14th. The shares were sold at an average price of $411.34, for a total value of $519,111.08. Following the transaction, the executive vice president directly owned 46,003 shares of the company’s stock, valued at approximately $18,922,874.02. This trade represents a 2.67% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this link. Also, EVP Takeshi Numoto sold 4,500 shares of the business’s stock in a transaction dated Wednesday, June 10th. The stock was sold at an average price of $402.84, for a total transaction of $1,812,780.00. Following the transaction, the executive vice president owned 47,468 shares in the company, valued at $19,122,009.12. The trade was a 8.66% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 23,762 shares of company stock valued at $10,508,361 over the last 90 days. 0.03% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of the business. Platform Technology Partners grew its stake in shares of Microsoft by 7.4% in the 2nd quarter. Platform Technology Partners now owns 45,761 shares of the software giant’s stock valued at $17,070,000 after buying an additional 3,167 shares during the period. Financial Perspectives Inc raised its position in shares of Microsoft by 5.2% during the 2nd quarter. Financial Perspectives Inc now owns 35,154 shares of the software giant’s stock valued at $13,113,000 after buying an additional 1,725 shares during the period. MBE Wealth Management LLC lifted its holdings in Microsoft by 6.5% in the second quarter. MBE Wealth Management LLC now owns 3,600 shares of the software giant’s stock valued at $1,343,000 after acquiring an additional 220 shares during the last quarter. SWP Financial LLC lifted its holdings in Microsoft by 33.4% in the second quarter. SWP Financial LLC now owns 1,030 shares of the software giant’s stock valued at $384,000 after acquiring an additional 258 shares during the last quarter. Finally, Wealth Advisory Solutions LLC grew its position in Microsoft by 20.5% in the second quarter. Wealth Advisory Solutions LLC now owns 23,516 shares of the software giant’s stock worth $8,772,000 after acquiring an additional 3,994 shares during the period. 71.13% of the stock is owned by hedge funds and other institutional investors.

More Microsoft News

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Microsoft reported fiscal Q4 revenue of approximately $90.0 billion, up 18% year over year and above the $87.6 billion consensus estimate. Adjusted earnings of $4.74 per share also exceeded expectations of $4.21, marking the company’s 14th consecutive “double beat.” Microsoft Q4 Earnings and Revenues Top Estimates
• Positive Sentiment: Azure revenue grew 43%, exceeding analysts’ expectations of roughly 40%, and the cloud platform surpassed $100 billion in annual revenue. The results eased concerns that Microsoft’s AI infrastructure investments may be outpacing customer demand. Microsoft Tops Quarterly Cloud Growth Estimates
• Positive Sentiment: Microsoft said Microsoft 365 Copilot reached 30 million paid seats, providing evidence of growing monetization for its AI products. The company also recorded a $3.2 billion gain from its Anthropic investment, although returns from its OpenAI investment were more mixed. Azure Crosses $100 Billion in Annual Revenue
• Positive Sentiment: Microsoft maintained its AI capital-expenditure outlook rather than following Alphabet’s recent increase. Investors viewed the spending discipline as supportive of margins and free cash flow, while first-quarter fiscal 2027 revenue guidance of $89.9 billion to $91.0 billion was slightly above consensus. Microsoft Keeps Capex Forecast Unchanged
• Neutral Sentiment: Investors had positioned for an unusually large post-earnings move, with options implying roughly a 6% to 7% swing. This elevated volatility reflects the importance of Microsoft’s results to the broader AI investment theme.
• Negative Sentiment: Microsoft faces a U.K. regulatory investigation into whether customers were misled about Microsoft 365 Personal and Family subscription pricing. The probe creates potential reputational and compliance risks, though its near-term financial impact is unclear. UK Regulator Investigates Microsoft Over 365 Subscriptions
• Negative Sentiment: Disney’s decision to replace GitHub Copilot with OpenAI’s Codex highlights intensifying competition in AI coding tools. Multiple shareholder lawsuits concerning alleged Copilot and Azure disclosures also remain an overhang.

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).