Microsoft (NASDAQ:MSFT) Earns Buy Rating from UBS Group

Microsoft (NASDAQ:MSFT)‘s stock had its “buy” rating reaffirmed by equities research analysts at UBS Group in a research report issued on Friday,MarketScreener reports.

A number of other analysts also recently commented on the company. TD Cowen decreased their target price on Microsoft from $610.00 to $540.00 and set a “buy” rating on the stock in a research report on Thursday, April 16th. DA Davidson reiterated a “buy” rating and set a $650.00 target price on shares of Microsoft in a research report on Thursday, January 29th. Mizuho decreased their target price on Microsoft from $620.00 to $515.00 and set an “outperform” rating on the stock in a research report on Tuesday, April 14th. Wedbush decreased their target price on Microsoft from $625.00 to $575.00 and set an “outperform” rating on the stock in a research report on Thursday, January 29th. Finally, Weiss Ratings downgraded Microsoft from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Tuesday, March 24th. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-eight have assigned a Buy rating and five have issued a Hold rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $575.34.

Microsoft Stock Up 2.1%

Microsoft stock opened at $424.54 on Friday. The stock’s 50 day moving average price is $393.48 and its 200 day moving average price is $450.61. The company has a debt-to-equity ratio of 0.09, a current ratio of 1.39 and a quick ratio of 1.38. The company has a market cap of $3.15 trillion, a PE ratio of 26.55, a price-to-earnings-growth ratio of 1.57 and a beta of 1.11. Microsoft has a 1-year low of $356.28 and a 1-year high of $555.45.

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

Insider Buying and Selling at Microsoft

In related news, Director John W. Stanton acquired 5,000 shares of Microsoft stock in a transaction dated Wednesday, February 18th. The shares were acquired at an average cost of $397.35 per share, for a total transaction of $1,986,750.00. Following the completion of the transaction, the director directly owned 83,905 shares of the company’s stock, valued at $33,339,651.75. The trade was a 6.34% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, EVP Kathleen T. Hogan sold 12,321 shares of the company’s 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 in the company, valued at $56,486,322.16. This represents a 8.20% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 0.03% of the stock is owned by corporate insiders.

Institutional Trading of Microsoft

Several institutional investors and hedge funds have recently made changes to their positions in the stock. BLVD Private Wealth LLC increased its stake in Microsoft by 0.6% in the third quarter. BLVD Private Wealth LLC now owns 3,169 shares of the software giant’s stock valued at $1,641,000 after purchasing an additional 19 shares during the last quarter. Magnolia Capital Management Ltd. increased its stake in Microsoft by 0.3% in the third quarter. Magnolia Capital Management Ltd. now owns 6,509 shares of the software giant’s stock valued at $3,371,000 after purchasing an additional 20 shares during the last quarter. ARK & TLK Investments LLC increased its stake in Microsoft by 1.0% in the third quarter. ARK & TLK Investments LLC now owns 1,935 shares of the software giant’s stock valued at $1,002,000 after purchasing an additional 20 shares during the last quarter. Rochester Wealth Strategies LLC increased its stake in Microsoft by 2.9% in the third quarter. Rochester Wealth Strategies LLC now owns 700 shares of the software giant’s stock valued at $363,000 after purchasing an additional 20 shares during the last quarter. Finally, Longfellow Investment Management Co. LLC increased its stake in Microsoft by 51.3% in the second quarter. Longfellow Investment Management Co. LLC now owns 59 shares of the software giant’s stock valued at $29,000 after purchasing an additional 20 shares during the last quarter. 71.13% of the stock is currently owned by hedge funds and other institutional investors.

Microsoft News Summary

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).