Microsoft (NASDAQ:MSFT) Now Covered by Benchmark

Benchmark initiated coverage on shares of Microsoft (NASDAQ:MSFT) in a research report sent to investors on Wednesday,MarketScreener reports. The brokerage issued a buy rating on the software giant’s stock.

Several other equities analysts have also issued reports on the company. BMO Capital Markets dropped their price target on Microsoft from $625.00 to $575.00 and set an “outperform” rating on the stock in a research note on Thursday, January 29th. TD Cowen reiterated a “buy” rating on shares of Microsoft in a research report on Thursday, January 29th. Rothschild & Co Redburn set a $450.00 target price on shares of Microsoft in a research note on Wednesday, January 21st. Jefferies Financial Group restated a “buy” rating on shares of Microsoft in a report on Thursday, March 5th. Finally, Phillip Securities raised shares of Microsoft from a “moderate buy” rating to a “strong-buy” rating in a research note on Sunday, February 1st. Two research analysts have rated the stock with a Strong Buy rating, thirty-eight have issued a Buy rating and five have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, Microsoft currently has a consensus rating of “Moderate Buy” and a consensus price target of $588.97.

Microsoft Stock Performance

Shares of Microsoft stock opened at $369.37 on Wednesday. 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 business has a 50-day moving average price of $404.16 and a two-hundred day moving average price of $464.55. Microsoft has a 1-year low of $344.79 and a 1-year high of $555.45. The company has a market cap of $2.74 trillion, a P/E ratio of 23.10, a PEG ratio of 1.40 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 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.86 by $0.28. Microsoft had a return on equity of 32.34% and a net margin of 39.04%.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 previous year, the business earned $3.23 EPS. The firm’s revenue was up 16.7% compared to the same quarter last year. As a group, analysts anticipate that Microsoft will post 13.08 EPS for the current year.

Microsoft Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, June 11th. Shareholders of record on Thursday, May 21st will be paid a dividend of $0.91 per share. This represents a $3.64 dividend on an annualized basis and a yield of 1.0%. The ex-dividend date is Thursday, May 21st. Microsoft’s payout ratio is 22.76%.

Insider Buying and Selling at Microsoft

In other Microsoft news, Director John W. Stanton acquired 5,000 shares of the company’s stock in a transaction on Wednesday, February 18th. The shares were purchased at an average cost of $397.35 per share, with a total value of $1,986,750.00. Following the completion of the purchase, the director owned 83,905 shares of the company’s stock, valued at approximately $33,339,651.75. This represents a 6.34% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP Kathleen T. Hogan sold 12,321 shares of Microsoft stock in a transaction dated Friday, March 6th. The shares were sold at an average price of $409.52, for a total transaction of $5,045,695.92. Following the transaction, the executive vice president owned 137,933 shares of the company’s stock, valued at $56,486,322.16. This represents a 8.20% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Corporate insiders own 0.03% of the company’s stock.

Institutional Trading of Microsoft

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. BLVD Private Wealth LLC lifted its stake in Microsoft by 0.6% during the 3rd quarter. BLVD Private Wealth LLC now owns 3,169 shares of the software giant’s stock valued at $1,641,000 after acquiring an additional 19 shares in the last quarter. Foundation Wealth Management LLC PA grew its stake in shares of Microsoft by 1.6% in the 2nd quarter. Foundation Wealth Management LLC PA now owns 1,276 shares of the software giant’s stock worth $635,000 after acquiring an additional 20 shares in the last quarter. Magnolia Capital Management Ltd. grew its stake in shares of Microsoft by 0.3% in the 3rd quarter. Magnolia Capital Management Ltd. now owns 6,509 shares of the software giant’s stock worth $3,371,000 after acquiring an additional 20 shares in the last quarter. ARK & TLK Investments LLC raised its holdings in shares of 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. Finally, Rochester Wealth Strategies LLC lifted its position in shares of Microsoft by 2.9% during 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 in the last quarter. 71.13% of the stock is owned by institutional investors.

Microsoft News Roundup

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Large Asia infrastructure commitments: Microsoft said it will invest about $5.5B in Singapore and $1B in Thailand to build cloud and AI data‑center capacity, strengthening long‑term revenue visibility for Azure and enterprise AI services. WSJ: Microsoft Plans to Invest $5.5 Billion in Singapore
• Positive Sentiment: Energy supply de‑risking for AI buildout: Microsoft entered an exclusivity deal with Chevron and Engine No. 1 to explore a ~2.5GW (potentially 5GW) gas‑powered complex in West Texas to power large data centers — a strategic move to secure power and reduce one key constraint on AI scaling. Reuters: Microsoft, Chevron and Engine No. 1 sign exclusive deal
• Positive Sentiment: Analyst backing and higher targets: Multiple firms initiated or raised coverage (Benchmark buy initiation, New Street target hike and other bullish notes), keeping a majority of analysts constructive and implying significant upside from current levels. This institutional support can cushion near‑term downside. Yahoo Finance: What Do Analysts Say About Microsoft?
• Neutral Sentiment: Governance and safety moves: Microsoft unveiled new AI tools (a “Critique and Council” approach) aimed at improving model oversight and trust — helpful for long‑term adoption but unlikely to move near‑term revenue. Yahoo: Microsoft Just Unveiled New AI Tools
• Neutral Sentiment: Org restructure for AI: Microsoft reshuffled its AI org to consolidate go‑to‑market and product execution — a long‑term constructive step but with execution risk during the transition. Fool: Microsoft Reshuffled Its Entire AI Organization
• Negative Sentiment: Weak quarterly reaction and ROI concerns: Investors punished the stock after Q1, calling out elevated capex for AI, slower Copilot adoption and uncertainty over the return on massive infrastructure spending — the core reason for the recent pullback. CNBC: Microsoft closes worst quarter since 2008
• Negative Sentiment: Regulatory/competition risk: The U.K. Competition and Markets Authority has launched a probe into Microsoft’s business‑software ecosystem and cloud licensing, adding litigation and regulatory overhang. Reuters: UK to launch antitrust probe into Microsoft
• Negative Sentiment: Technical and sentiment pressures: The stock recently breached its 200‑week moving average and suffered heavy dip selling; social‑media and technical chatter is amplifying downside risk in the short term. Insider sales are also noted in public filings. QuiverQuant: Opinions on Breaching 200‑Week Moving Average

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).