RWWM Inc. Has $42.97 Million Stock Position in Microsoft Co. (NASDAQ:MSFT)

RWWM Inc. cut its stake in Microsoft Co. (NASDAQ:MSFT) by 2.4% in the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 96,149 shares of the software giant’s stock after selling 2,392 shares during the period. Microsoft makes up approximately 4.7% of RWWM Inc.’s holdings, making the stock its 7th biggest position. RWWM Inc.’s holdings in Microsoft were worth $42,965,000 as of its most recent SEC filing.

A number of other hedge funds have also recently bought and sold shares of the stock. Rebalance LLC boosted its stake in shares of Microsoft by 0.7% in the 2nd quarter. Rebalance LLC now owns 3,451 shares of the software giant’s stock valued at $1,542,000 after purchasing an additional 24 shares during the last quarter. First National Bank Sioux Falls boosted its stake in Microsoft by 0.4% during the 2nd quarter. First National Bank Sioux Falls now owns 6,340 shares of the software giant’s stock worth $2,834,000 after acquiring an additional 24 shares during the last quarter. Doheny Asset Management CA boosted its stake in Microsoft by 0.4% during the 1st quarter. Doheny Asset Management CA now owns 6,397 shares of the software giant’s stock worth $2,691,000 after acquiring an additional 25 shares during the last quarter. Flagship Private Wealth LLC boosted its stake in Microsoft by 2.8% during the 2nd quarter. Flagship Private Wealth LLC now owns 913 shares of the software giant’s stock worth $408,000 after acquiring an additional 25 shares during the last quarter. Finally, Massachusetts Wealth Management boosted its stake in Microsoft by 0.3% during the 2nd quarter. Massachusetts Wealth Management now owns 9,640 shares of the software giant’s stock worth $4,309,000 after acquiring an additional 25 shares during the last quarter. 71.13% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

Several research firms recently weighed in on MSFT. JPMorgan Chase & Co. reduced their price objective on shares of Microsoft from $470.00 to $465.00 and set an “overweight” rating on the stock in a research note on Thursday, October 31st. Wedbush reissued an “underperform” rating on shares of Microsoft in a research note on Friday, October 18th. Citigroup reduced their price objective on shares of Microsoft from $500.00 to $497.00 and set a “buy” rating on the stock in a research note on Wednesday, October 23rd. Sanford C. Bernstein reduced their price objective on shares of Microsoft from $501.00 to $500.00 and set an “outperform” rating on the stock in a research note on Friday, October 25th. Finally, Oppenheimer downgraded shares of Microsoft from an “outperform” rating to a “market perform” rating in a report on Tuesday, October 8th. One equities research analyst has rated the stock with a sell rating, three have issued a hold rating and twenty-six have assigned a buy rating to the company. According to data from MarketBeat.com, Microsoft presently has a consensus rating of “Moderate Buy” and a consensus price target of $503.03.

Microsoft Price Performance

NASDAQ:MSFT opened at $422.54 on Friday. Microsoft Co. has a one year low of $360.36 and a one year high of $468.35. The company has a market cap of $3.14 trillion, a P/E ratio of 34.86, a P/E/G ratio of 2.23 and a beta of 0.91. The firm’s fifty day moving average price is $421.09 and its two-hundred day moving average price is $424.95. The company has a debt-to-equity ratio of 0.15, a current ratio of 1.30 and a quick ratio of 1.29.

Microsoft (NASDAQ:MSFT) last released its quarterly earnings data on Wednesday, October 30th. The software giant reported $3.30 EPS for the quarter, beating the consensus estimate of $3.10 by $0.20. Microsoft had a net margin of 35.61% and a return on equity of 34.56%. The firm had revenue of $65.59 billion for the quarter, compared to the consensus estimate of $64.57 billion. During the same period in the previous year, the company earned $2.99 earnings per share. The company’s quarterly revenue was up 16.0% on a year-over-year basis. Equities analysts expect that Microsoft Co. will post 12.94 earnings per share for the current year.

Microsoft Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, December 12th. Investors of record on Thursday, November 21st will be paid a $0.83 dividend. The ex-dividend date is Thursday, November 21st. This is an increase from Microsoft’s previous quarterly dividend of $0.75. This represents a $3.32 annualized dividend and a dividend yield of 0.79%. Microsoft’s dividend payout ratio is 24.75%.

Microsoft announced that its Board of Directors has initiated a share repurchase program on Monday, September 16th that permits the company to buyback $60.00 billion in outstanding shares. This buyback authorization permits the software giant to purchase up to 1.9% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s leadership believes its stock is undervalued.

Insider Activity at Microsoft

In related news, CMO Takeshi Numoto sold 2,500 shares of the company’s stock in a transaction dated Tuesday, September 10th. The shares were sold at an average price of $411.04, for a total value of $1,027,600.00. Following the transaction, the chief marketing officer now directly owns 50,000 shares in the company, valued at approximately $20,552,000. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. In other Microsoft news, CEO Satya Nadella sold 14,398 shares of the stock in a transaction dated Friday, August 23rd. The shares were sold at an average price of $417.41, for a total transaction of $6,009,869.18. Following the sale, the chief executive officer now directly owns 786,933 shares in the company, valued at $328,473,703.53. This represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, CMO Takeshi Numoto sold 2,500 shares of the stock in a transaction dated Tuesday, September 10th. The stock was sold at an average price of $411.04, for a total transaction of $1,027,600.00. Following the sale, the chief marketing officer now owns 50,000 shares in the company, valued at $20,552,000. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 190,629 shares of company stock worth $77,916,485. Corporate insiders own 0.03% of the company’s stock.

Microsoft Profile

Microsoft Corporation develops and supports software, services, devices and solutions worldwide. The Productivity and Business Processes segment offers office, exchange, SharePoint, Microsoft Teams, office 365 Security and Compliance, Microsoft viva, and Microsoft 365 copilot; and office consumer services, such as Microsoft 365 consumer subscriptions, Office licensed on-premises, and other office services.