Short Interest in Microsoft Corporation (NASDAQ:MSFT) Expands By 32.5%

Microsoft Corporation (NASDAQ:MSFT) saw a significant increase in short interest in the month of February. As of February 27th, there was short interest totaling 74,347,979 shares, an increase of 32.5% from the February 12th total of 56,124,540 shares. Based on an average daily trading volume, of 32,148,149 shares, the days-to-cover ratio is currently 2.3 days. Currently, 1.0% of the company’s shares are short sold. Currently, 1.0% of the company’s shares are short sold. Based on an average daily trading volume, of 32,148,149 shares, the days-to-cover ratio is currently 2.3 days.

Insider Activity at Microsoft

In other news, Director John W. Stanton acquired 5,000 shares of the stock in a transaction on Wednesday, February 18th. The shares were purchased at an average cost of $397.35 per share, for a total transaction of $1,986,750.00. Following the transaction, the director owned 83,905 shares in the company, valued at approximately $33,339,651.75. This trade represents a 6.34% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Kathleen T. Hogan sold 12,321 shares of the stock in a transaction on Friday, March 6th. The shares were sold at an average price of $409.52, for a total value of $5,045,695.92. Following the completion of the sale, the executive vice president owned 137,933 shares of the company’s stock, valued at $56,486,322.16. The trade was a 8.20% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 0.03% of the company’s stock.

Institutional Investors Weigh In On Microsoft

A number of institutional investors have recently bought and sold shares of the business. IRON Financial LLC boosted its stake in Microsoft by 23.2% during the third quarter. IRON Financial LLC now owns 6,510 shares of the software giant’s stock valued at $3,372,000 after buying an additional 1,225 shares during the period. Wellington Capital Management Inc. purchased a new stake in shares of Microsoft during the 2nd quarter valued at $9,941,000. Sound View Wealth Advisors Group LLC lifted its holdings in shares of Microsoft by 2.6% during the 2nd quarter. Sound View Wealth Advisors Group LLC now owns 94,120 shares of the software giant’s stock worth $46,816,000 after acquiring an additional 2,373 shares during the last quarter. Trifecta Capital Advisors LLC grew its position in Microsoft by 2.3% in the third quarter. Trifecta Capital Advisors LLC now owns 70,175 shares of the software giant’s stock worth $36,347,000 after acquiring an additional 1,572 shares in the last quarter. Finally, Weaver Capital Management LLC grew its position in Microsoft by 14.0% in the third quarter. Weaver Capital Management LLC now owns 18,340 shares of the software giant’s stock worth $9,499,000 after acquiring an additional 2,247 shares in the last quarter. Institutional investors and hedge funds own 71.13% of the company’s stock.

Microsoft Price Performance

NASDAQ MSFT opened at $399.95 on Tuesday. Microsoft has a 1 year low of $344.79 and a 1 year high of $555.45. The company has a fifty day simple moving average of $426.00 and a 200 day simple moving average of $475.04. The company has a current ratio of 1.39, a quick ratio of 1.38 and a debt-to-equity ratio of 0.09. The company has a market cap of $2.97 trillion, a P/E ratio of 25.01, a P/E/G ratio of 1.55 and a beta of 1.10.

Microsoft (NASDAQ:MSFT) last released its earnings results on Wednesday, January 28th. The software giant reported $4.14 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.86 by $0.28. The firm had revenue of $81.27 billion for the quarter, compared to analyst estimates of $80.28 billion. Microsoft had a return on equity of 32.34% and a net margin of 39.04%.The company’s revenue was up 16.7% on a year-over-year basis. During the same quarter last year, the firm posted $3.23 EPS. On average, sell-side analysts predict that Microsoft will post 13.08 EPS for the current year.

Microsoft Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, June 11th. Investors of record on Thursday, May 21st will be paid a dividend of $0.91 per share. This represents a $3.64 annualized dividend and a yield of 0.9%. The ex-dividend date is Thursday, May 21st. Microsoft’s payout ratio is currently 22.76%.

Analyst Ratings Changes

MSFT has been the topic of a number of research reports. BMO Capital Markets dropped their target price on Microsoft from $625.00 to $575.00 and set an “outperform” rating on the stock in a report on Thursday, January 29th. HSBC cut their price objective on Microsoft from $667.00 to $588.00 and set a “buy” rating for the company in a report on Thursday, January 29th. Robert W. Baird set a $540.00 target price on Microsoft and gave the stock an “outperform” rating in a research report on Thursday, January 29th. UBS Group reaffirmed an “outperform” rating on shares of Microsoft in a research note on Thursday, January 29th. Finally, New Street Research boosted their price target on Microsoft from $670.00 to $675.00 and gave the company a “buy” rating in a research note on Thursday, January 29th. Two analysts have rated the stock with a Strong Buy rating, forty have assigned a Buy rating and four have given a Hold rating to the company’s stock. Based on data from MarketBeat, Microsoft presently has an average rating of “Moderate Buy” and an average target price of $591.95.

Key Microsoft News

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Microsoft signed a letter of intent to receive 1.35GW of NVIDIA Vera Rubin NVL72 GPU systems at Nscale’s new West Virginia “Monarch” AI campus — a clear signal Microsoft is securing large-scale external AI capacity to support customer demand and accelerate AI workloads. Nscale and Microsoft Announce Collaboration with NVIDIA and Caterpillar to Deliver 1.35GW of NVIDIA Vera Rubin NVL72 GPUs at Flagship AI Factory Campus in West Virginia
• Positive Sentiment: Nvidia-backed Nscale acquired a 2,250-acre campus and plans up to 8GW of compute there — the scale of this buildout increases available AI capacity in which Microsoft can be a customer/partner, easing short-term Azure capacity constraints and supporting long-term cloud/AI revenue growth. Nvidia-Backed Nscale Plans Huge Data Center Cluster in West Virginia
• Positive Sentiment: Wall Street commentary and analysts continue to call Microsoft a long-term AI winner and a potential buying opportunity amid the pullback — bullish analyst notes can support near-term buying interest and reduce downside from headline-driven volatility. Microsoft Stock (NASDAQ:MSFT) Tips Up With New Scam-Fighting Coalition Microsoft Is ‘Long-Term Winner’ In AI Arms Race—Sell-Off Is Buying ‘Opportunity,’ Says Don Nesbitt
• Neutral Sentiment: Microsoft joined or backed anti-scam initiatives — good for reputation and user trust but limited direct near-term earnings impact. Microsoft Stock (NASDAQ:MSFT) Tips Up With New Scam-Fighting Coalition
• Neutral Sentiment: Big-tech carbon credit purchases are rising as AI capacity expands; Microsoft is a leader — this signals higher ESG spending and potential margin/headline impacts, but it also mitigates regulatory/PR risks. Big Tech purchases of carbon credits explode amid AI race, with Microsoft leading the way
• Negative Sentiment: Industry article flags nearly $700B of off‑balance-sheet data center leases led by Microsoft/peers — a reminder that massive AI infrastructure commitments carry financial and execution risk if revenue growth lags. Data Center Leases: Is Spending Mindful Of Revenues?
• Negative Sentiment: Critical commentary and downgrade talk emphasize macro, competition and geopolitical/war-related risks to Microsoft’s outlook — such narratives can pressure sentiment and valuation multiples even if fundamentals remain strong. Microsoft: Macrohard, Competition, And War-Related Fears (Rating Downgrade)
• Negative Sentiment: High-profile investor selling (e.g., Peter Thiel’s fund trimming Microsoft) can fuel short-term negative headlines and investor nervousness despite differing long-term views. Palantir Billionaire Peter Thiel Sells 3 AI Stocks in a $74 Million Warning to Wall Street.

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).