Jefferies Financial Group Reiterates “Buy” Rating for Microsoft (NASDAQ:MSFT)

Microsoft (NASDAQ:MSFT)‘s stock had its “buy” rating reiterated by analysts at Jefferies Financial Group in a research report issued to clients and investors on Friday,MarketScreener reports.

A number of other brokerages also recently commented on MSFT. Stifel Nicolaus reissued a “hold” rating and issued a $392.00 price objective (down from $540.00) on shares of Microsoft in a research report on Thursday, February 5th. The Goldman Sachs Group restated a “buy” rating on shares of Microsoft in a report on Thursday, February 12th. Sanford C. Bernstein restated an “outperform” rating and issued a $641.00 target price (down from $645.00) on shares of Microsoft in a report on Thursday, January 29th. TD Cowen lowered their target price on shares of Microsoft from $610.00 to $540.00 and set a “buy” rating for the company in a report on Thursday, April 16th. Finally, Benchmark began coverage on shares of Microsoft in a report on Wednesday, April 1st. They issued a “buy” rating for the company. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-eight have assigned a Buy rating and five have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, Microsoft presently has a consensus rating of “Moderate Buy” and an average target price of $575.34.

Microsoft Trading Up 2.1%

Shares of NASDAQ:MSFT opened at $424.54 on Friday. Microsoft has a 52 week low of $356.28 and a 52 week high of $555.45. The company’s 50 day moving average is $393.48 and its two-hundred day moving average is $450.61. 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 $3.15 trillion, a PE ratio of 26.55, a P/E/G ratio of 1.57 and a beta of 1.11.

Microsoft (NASDAQ:MSFT) last announced its quarterly earnings data on Wednesday, January 28th. The software giant reported $4.14 EPS for the quarter, beating analysts’ consensus estimates of $3.86 by $0.28. Microsoft had a net margin of 39.04% and a return on equity of 32.34%. The company had revenue of $81.27 billion for the quarter, compared to the consensus estimate of $80.28 billion. During the same period in the prior year, the firm posted $3.23 EPS. The company’s quarterly revenue was up 16.7% compared to the same quarter last year. Equities analysts predict that Microsoft will post 16.54 earnings per share for the current fiscal year.

Insiders Place Their Bets

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

Institutional Trading of Microsoft

A number of large investors have recently bought and sold shares of MSFT. Longfellow Investment Management Co. LLC boosted its stake in Microsoft by 51.3% during the 2nd quarter. Longfellow Investment Management Co. LLC now owns 59 shares of the software giant’s stock worth $29,000 after purchasing an additional 20 shares during the period. Bernzott Capital Advisors acquired a new stake in Microsoft during the 4th quarter worth $34,000. Timmons Wealth Management LLC acquired a new stake in Microsoft during the 4th quarter worth $36,000. Bayforest Capital Ltd acquired a new stake in Microsoft during the 3rd quarter worth $38,000. Finally, Fairway Wealth LLC boosted its stake in Microsoft by 287.0% during the 4th 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. Institutional investors and hedge funds own 71.13% of the company’s stock.

Key Microsoft News

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Microsoft announced a roughly $18B investment in Australia to expand Azure AI supercomputing, cloud capacity, cybersecurity and upskilling — a major long‑term revenue and capacity commitment that supports the AI growth narrative. Microsoft to invest $18B in Australia to expand AI, cloud and digital infrastructure
• Positive Sentiment: High‑profile investor Michael Burry disclosed a new long position in MSFT, signaling conviction from a value‑oriented, headline‑driving buyer — this can attract other investors looking for a contrarian entry. Big Short Investor Michael Burry Opens New Position in Microsoft Stock (MSFT)
• Positive Sentiment: Analysts remain upbeat: Jefferies reaffirmed a Buy and other firms (Guggenheim, TD Cowen) have high price targets or bullish notes citing Copilot/Azure monetization, supporting upside sentiment into earnings. Jefferies gives a buy rating on Microsoft
• Positive Sentiment: Gaming/product signals: Xbox branding returned and leaked details of a cheaper Xbox Game Pass Starter Edition have lifted expectations for consumer engagement and subscription growth. Microsoft Gaming reverts to Xbox branding as part of new mission statement
• Neutral Sentiment: Upcoming catalyst: Microsoft reports fiscal Q3 results on April 29 — earnings will likely drive larger intraday moves as investors look for Azure growth, Copilot adoption and AI capex conversion. Microsoft Will Report Q3 Earnings on April 29
• Neutral Sentiment: Market context: Tech sector strength and broader AI‑led optimism are supporting MSFT alongside peers; short‑interest data in the feed is not meaningful (reported 0 shares). Sector Update: Tech Stocks Gain Late Afternoon
• Negative Sentiment: Cost/structure concerns: Microsoft launched its first‑ever voluntary buyout program (~7% of U.S. workforce) as it reshapes for AI — while aimed at efficiency, the move and public discussion of heavy AI capex have pressured sentiment and raised near‑term uncertainty. Microsoft plans first voluntary employee buyout in company’s 51-year history
• Negative Sentiment: Investor worry over AI capital intensity and OpenAI dependence persists in commentary and some sell‑side notes, which could keep volatility elevated into earnings despite long‑term upside. Microsoft Is A Value Trap, OpenAI Dependence Could Backfire

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).