Microsoft Corporation $MSFT is University of Texas Texas AM Investment Management Co.’s 4th Largest Position

University of Texas Texas AM Investment Management Co. trimmed its stake in Microsoft Corporation (NASDAQ:MSFT) by 6.4% in the fourth quarter, according to the company in its most recent disclosure with the SEC. The firm owned 60,316 shares of the software giant’s stock after selling 4,141 shares during the quarter. Microsoft comprises 4.1% of University of Texas Texas AM Investment Management Co.’s portfolio, making the stock its 4th largest position. University of Texas Texas AM Investment Management Co.’s holdings in Microsoft were worth $29,170,000 as of its most recent filing with the SEC.

Other hedge funds and other institutional investors have also recently bought and sold shares of the company. Longfellow Investment Management Co. LLC lifted its holdings in shares of Microsoft by 51.3% during the 2nd quarter. Longfellow Investment Management Co. LLC now owns 59 shares of the software giant’s stock valued at $29,000 after acquiring an additional 20 shares in the last quarter. Bernzott Capital Advisors acquired a new position in shares of Microsoft during the 4th quarter valued at $34,000. Timmons Wealth Management LLC acquired a new position in shares of Microsoft during the 4th quarter valued at $36,000. Fairway Wealth LLC lifted its holdings in shares of Microsoft by 287.0% during the 4th quarter. Fairway Wealth LLC now owns 89 shares of the software giant’s stock valued at $43,000 after acquiring an additional 66 shares in the last quarter. Finally, LSV Asset Management acquired a new position in shares of Microsoft during the 4th quarter valued at $44,000. 71.13% of the stock is owned by institutional investors and hedge funds.

Microsoft Trading Down 1.5%

MSFT opened at $393.83 on Wednesday. The stock has a market capitalization of $2.93 trillion, a PE ratio of 23.44, a P/E/G ratio of 1.44 and a beta of 1.11. The firm’s fifty day moving average price is $412.01 and its 200 day moving average price is $427.45. The company has a debt-to-equity ratio of 0.08, a current ratio of 1.28 and a quick ratio of 1.27. Microsoft Corporation has a 12-month low of $356.28 and a 12-month high of $555.45.

Microsoft (NASDAQ:MSFT) last posted its quarterly earnings results on Wednesday, April 29th. The software giant reported $4.27 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.06 by $0.21. The firm had revenue of $82.89 billion for the quarter, compared to analysts’ expectations of $81.44 billion. Microsoft had a net margin of 39.34% and a return on equity of 31.94%. The firm’s quarterly revenue was up 18.3% on a year-over-year basis. During the same period in the prior year, the company posted $3.46 earnings per share. As a group, research analysts expect that Microsoft Corporation will post 16.76 EPS for the current fiscal year.

Microsoft Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Thursday, August 20th will be issued a $0.91 dividend. The ex-dividend date of this dividend is Thursday, August 20th. This represents a $3.64 annualized dividend and a yield of 0.9%. Microsoft’s dividend payout ratio is currently 21.67%.

Insider Activity at Microsoft

In related news, CEO Judson Althoff sold 15,500 shares of the company’s stock in a transaction on Monday, June 1st. The shares were sold at an average price of $460.99, for a total value of $7,145,345.00. Following the sale, the chief executive officer directly owned 110,477 shares of the company’s stock, valued at $50,928,792.23. This represents a 12.30% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, EVP Amy Coleman sold 1,262 shares of the business’s stock in a transaction on Thursday, May 14th. The shares were sold at an average price of $411.34, for a total transaction of $519,111.08. Following the sale, the executive vice president owned 46,003 shares of the company’s stock, valued at approximately $18,922,874.02. The trade was a 2.67% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 23,762 shares of company stock valued at $10,508,361 over the last ninety days. Corporate insiders own 0.03% of the company’s stock.

Key Microsoft News

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Microsoft continues to expand its AI offerings, including the global rollout of its Copilot Cowork AI agent and new pay-as-you-go pricing, which could improve monetization if adoption grows. Microsoft’s AI agent Copilot Cowork now available globally; Cowork 1 to come soon
• Positive Sentiment: Commentary around Nvidia CEO Jensen Huang’s view that AI can help software companies has been supportive for Microsoft’s AI strategy, since Microsoft has already embedded AI across its products. Nvidia CEO Jensen Huang Just Announced Fantastic News to Microsoft Stock Investors
• Neutral Sentiment: Oracle denied reports that a $3 billion cloud deal with Microsoft collapsed because of security and FedRAMP compliance issues, leaving the situation unresolved but not clearly worsening. Oracle Denies Report That Security Concerns Killed Potential $3 Billion Microsoft Cloud Deal
• Neutral Sentiment: Microsoft’s AI and quantum-related product news, including new Surface devices and broader AI/coding tools, supports the long-term growth narrative but is less likely to move the stock immediately. Microsoft debuts Surface Laptop and Surface Pro amid AI-driven memory shortage
• Negative Sentiment: Microsoft walked away from a potential $3 billion Oracle cloud capacity deal, according to multiple reports, which suggests ongoing pressure to secure enough AI infrastructure and may highlight execution challenges. Microsoft’s cloud infrastructure talks with Oracle collapse, Business Insider reports
• Negative Sentiment: Shareholders filed a class action lawsuit alleging Microsoft misled investors about Azure growth and the need for heavy AI infrastructure spending, adding legal and sentiment pressure on the shares. Microsoft sued by shareholders over expenses, cloud business, AI
• Negative Sentiment: Reports that Microsoft may close or spin off parts of Xbox, including studio closures, reinforce concerns about restructuring costs and weak gaming margins. Microsoft looks to shut down Compulsion Games — report

Analyst Ratings Changes

MSFT has been the topic of a number of recent research reports. Oppenheimer reissued an “outperform” rating and set a $515.00 target price (down from $630.00) on shares of Microsoft in a research report on Monday, April 27th. Dbs Bank reduced their target price on shares of Microsoft from $678.00 to $573.00 in a research report on Thursday, May 7th. TD Cowen reissued a “buy” rating and set a $540.00 target price on shares of Microsoft in a research report on Thursday, June 4th. Royal Bank Of Canada reissued a “buy” rating on shares of Microsoft in a research report on Friday, May 22nd. Finally, DA Davidson reduced their target price on shares of Microsoft from $650.00 to $550.00 and set a “buy” rating on the stock in a research report on Thursday, April 30th. Forty-one investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $561.20.

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).