Coerente Capital Management’s Position in Microsoft Co.

Coerente Capital Management has made a slight adjustment to its holdings in Microsoft Co. (NASDAQ:MSFT) during the third quarter. According to the latest Form 13F filing with the Securities and Exchange Commission, Coerente reduced its position by 0.2%. After selling 264 shares, the firm now owns 120,196 shares of the technology giant's stock. Microsoft is a significant investment for Coerente, making up approximately 9.6% of its overall portfolio, valued at around $51.72 million at the close of the most recent reporting period.

Other institutional investors have also been active concerning Microsoft's stock. For instance, Christopher J. Hasenberg Inc. significantly increased its holdings by 169.2% in the second quarter, now owning 70 shares worth about $31,000 after acquiring 44 additional shares. Quarry LP entered a new position in Microsoft during the same quarter, valuing approximately $45,000. Innealta Capital LLC has also initiated a new stake in Microsoft, valued at around $75,000.

During the third quarter, Carolina Wealth Advisors LLC increased its stake in Microsoft by 10.1%, now owning 338 shares worth around $145,000. Bbjs Financial Advisors LLC expanded their holdings by an impressive 241.4% in the second quarter, securing 379 shares with a total value of $169,000. Overall, institutional investors control about 71.13% of Microsoft’s total stock.

Market Predictions by Analysts

Equity research analysts have shared mixed sentiments about the future price of Microsoft shares. BMO Capital Markets recently lowered their price target from $500.00 to $495.00 while maintaining their 'outperform' rating for the stock. In contrast, other firms have expressed more optimism, with Wedbush reiterating its 'outperform' rating and setting a price target of $550.00. Citigroup adjusted its price target down to $497.00, still recommending a 'buy' for the shares. KeyCorp also upped its target from $490.00 to $505.00, aligning with an 'overweight' classification for Microsoft.

Currently, three analysts categorize Microsoft's stock as a hold, while a robust 26 analysts recommend buying it. According to MarketBeat.com, Microsoft's consensus rating stands at 'Moderate Buy,' boasting an average price target of $508.46.

Insider Activity

In other news, insider transactions have also occurred at Microsoft. EVP Christopher David Young sold 7,200 shares on November 12, 2024, averaging $423.66 per share, resulting in a transaction worth over $3 million. After this sale, Young continues to hold 103,366 shares valued at approximately $43.79 million, which represents a decrease of 6.51% from his previous ownership.

Further, CMO Takeshi Numoto sold 2,500 shares on December 9 at an average price of $447.41. Following the transaction, Numoto holds 49,352 shares worth about $22.08 million, a decrease of 4.82% in his stock ownership. In total, insiders have sold 41,200 shares valued at $17.38 million in recent months, with insiders currently holding just 0.03% of the total shares.

Current Trading Status

As of the last trading session, Microsoft shares opened at $436.60. The company boasts a market capitalization of $3.25 trillion, with a Price-to-Earnings ratio of 36.02 and a P/E/G ratio of 2.37. Microsoft has a debt-to-equity ratio of 0.15, a current ratio of 1.30, and a quick ratio of 1.29. Over the past year, its shares have varied between a low of $366.50 and a high of $468.35. Notably, its fifty-day and 200-day simple moving averages are $427.02 and $428.42, respectively.

On October 30, 2024, Microsoft announced its earnings results, reporting earnings per share (EPS) of $3.30, which surpassed analysts' expectations of $3.10. The company's revenue reached $65.59 billion, exceeding the consensus estimate of $64.57 billion. With a net margin of 35.61% and a return on equity of 34.56%, Microsoft has shown an impressive revenue growth of 16.0% year-on-year. Analysts expect the company to report an EPS of 12.93 for the current fiscal year.

Dividend Information

Recently, Microsoft also declared a quarterly dividend of $0.83 per share, which is scheduled to be paid on March 13, 2025. The ex-dividend date is set for February 20, 2025. This translates to an annualized dividend of $3.32, offering a yield of 0.76%, with a payout ratio of 27.39%.

Additionally, Microsoft’s board authorized a significant stock repurchase program amounting to $60 billion. This initiative allows Microsoft to buy back approximately 1.9% of its shares through open market purchases, which usually indicates that the management considers the stock undervalued.

Company Overview

Microsoft Corporation is a leading technology company known for developing and supporting a wide range of software, services, devices, and solutions globally. Its Productivity and Business Processes segment includes products such as Office, Exchange, SharePoint, Microsoft Teams, and various Microsoft 365 services, among others.

Microsoft, Investment, Shares