Microsoft (NASDAQ:MSFT) Stock Price Down 1% – Here’s Why

Shares of Microsoft Co. (NASDAQ:MSFT) dropped 1% during trading on Friday . The stock traded as low as $366.89 and last traded at $367.78. Approximately 20,940,221 shares traded hands during trading, a decline of 2% from the average daily volume of 21,277,339 shares. The stock had previously closed at $371.61.

Analyst Upgrades and Downgrades

A number of analysts have recently weighed in on MSFT shares. Loop Capital increased their price objective on Microsoft from $500.00 to $550.00 and gave the company a “buy” rating in a research note on Monday, December 23rd. Westpark Capital started coverage on shares of Microsoft in a research note on Tuesday, April 1st. They set a “hold” rating for the company. KeyCorp reiterated a “sector weight” rating on shares of Microsoft in a report on Thursday. StockNews.com downgraded shares of Microsoft from a “buy” rating to a “hold” rating in a research report on Friday, February 28th. Finally, Jefferies Financial Group reaffirmed a “buy” rating and set a $475.00 target price (down previously from $500.00) on shares of Microsoft in a research note on Monday, April 7th. Five equities research analysts have rated the stock with a hold rating and twenty-seven have issued a buy rating to the stock. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $499.97.

Microsoft Stock Performance

The firm’s fifty day moving average is $388.25 and its 200-day moving average is $412.73. The company has a current ratio of 1.35, a quick ratio of 1.34 and a debt-to-equity ratio of 0.13. The stock has a market capitalization of $2.73 trillion, a PE ratio of 29.61, a price-to-earnings-growth ratio of 2.21 and a beta of 1.00.

Microsoft (NASDAQ:MSFT) last announced its earnings results on Wednesday, January 29th. The software giant reported $3.23 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.15 by $0.08. Microsoft had a return on equity of 33.36% and a net margin of 35.43%. During the same period last year, the business earned $2.93 EPS. As a group, research analysts anticipate that Microsoft Co. will post 13.08 earnings per share for the current year.

Microsoft Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, June 12th. Stockholders of record on Thursday, May 15th will be given a dividend of $0.83 per share. This represents a $3.32 dividend on an annualized basis and a dividend yield of 0.90%. The ex-dividend date of this dividend is Thursday, May 15th. Microsoft’s dividend payout ratio is presently 26.73%.

Institutional Investors Weigh In On Microsoft

Several institutional investors have recently modified their holdings of the company. Ball & Co Wealth Management Inc. acquired a new position in Microsoft in the fourth quarter valued at $31,000. Fiduciary Advisors Inc. acquired a new stake in shares of Microsoft in the 4th quarter valued at about $38,000. IFS Advisors LLC boosted its position in shares of Microsoft by 53.8% in the 4th quarter. IFS Advisors LLC now owns 100 shares of the software giant’s stock valued at $42,000 after purchasing an additional 35 shares during the period. LSV Asset Management acquired a new position in Microsoft during the fourth quarter worth approximately $44,000. Finally, Avondale Wealth Management lifted its stake in Microsoft by 144.4% in the fourth quarter. Avondale Wealth Management now owns 110 shares of the software giant’s stock valued at $46,000 after buying an additional 65 shares during the last quarter. 71.13% of the stock is owned by hedge funds and other institutional investors.

About Microsoft

Microsoft Corporation develops and supports software, services, devices and solutions worldwide. The Productivity and Business Processes segment offers office, exchange, SharePoint, Microsoft Teams, office 365 Security and Compliance, Microsoft viva, and Microsoft 365 copilot; and office consumer services, such as Microsoft 365 consumer subscriptions, Office licensed on-premises, and other office services.