Microsoft Co. (NASDAQ:MSFT) Holdings Reduced by McGinn Penninger Investment Management Inc.

McGinn Penninger Investment Management Inc. lowered its stake in shares of Microsoft Co. (NASDAQ:MSFT) by 1.1% in the second quarter, according to its most recent 13F filing with the SEC. The fund owned 36,014 shares of the software giant’s stock after selling 405 shares during the period. Microsoft comprises about 10.9% of McGinn Penninger Investment Management Inc.’s portfolio, making the stock its largest holding. McGinn Penninger Investment Management Inc.’s holdings in Microsoft were worth $16,096,000 as of its most recent filing with the SEC.

Other institutional investors and hedge funds have also modified their holdings of the company. Vanguard Group Inc. increased its holdings in Microsoft by 0.5% in the 1st quarter. Vanguard Group Inc. now owns 667,987,038 shares of the software giant’s stock worth $281,035,506,000 after acquiring an additional 3,078,099 shares in the last quarter. Capital International Investors increased its stake in shares of Microsoft by 1.0% during the first quarter. Capital International Investors now owns 83,571,070 shares of the software giant’s stock worth $35,160,020,000 after purchasing an additional 842,884 shares in the last quarter. Ameriprise Financial Inc. raised its position in shares of Microsoft by 0.3% during the 2nd quarter. Ameriprise Financial Inc. now owns 34,511,544 shares of the software giant’s stock worth $15,426,767,000 after purchasing an additional 97,075 shares during the last quarter. Dimensional Fund Advisors LP lifted its stake in Microsoft by 6.9% in the 2nd quarter. Dimensional Fund Advisors LP now owns 24,091,789 shares of the software giant’s stock valued at $10,768,771,000 after buying an additional 1,563,533 shares in the last quarter. Finally, Rhumbline Advisers boosted its holdings in Microsoft by 0.3% in the 2nd quarter. Rhumbline Advisers now owns 14,738,956 shares of the software giant’s stock worth $6,587,576,000 after buying an additional 45,220 shares during the last quarter. Institutional investors and hedge funds own 71.13% of the company’s stock.

Microsoft Trading Down 2.8 %

NASDAQ:MSFT opened at $415.00 on Friday. The stock has a fifty day moving average price of $422.08 and a 200 day moving average price of $425.44. The company has a current ratio of 1.30, a quick ratio of 1.29 and a debt-to-equity ratio of 0.15. Microsoft Co. has a 12-month low of $362.90 and a 12-month high of $468.35. The firm has a market cap of $3.09 trillion, a PE ratio of 34.35, a price-to-earnings-growth ratio of 2.25 and a beta of 0.91.

Microsoft (NASDAQ:MSFT) last released its earnings results on Wednesday, October 30th. The software giant reported $3.30 earnings per share for the quarter, topping analysts’ consensus estimates 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 analyst estimates of $64.57 billion. During the same period in the prior year, the firm earned $2.99 earnings per share. The business’s quarterly revenue was up 16.0% compared to the same quarter last year. Sell-side analysts anticipate that Microsoft Co. will post 12.94 earnings per share for the current fiscal year.

Microsoft Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, December 12th. Investors of record on Thursday, November 21st will be paid a dividend of $0.83 per share. The ex-dividend date of this dividend is Thursday, November 21st. This represents a $3.32 dividend on an annualized basis and a dividend yield of 0.80%. This is an increase from Microsoft’s previous quarterly dividend of $0.75. Microsoft’s payout ratio is presently 27.39%.

Microsoft announced that its board has approved a stock repurchase plan on Monday, September 16th that allows the company to repurchase $60.00 billion in shares. This repurchase authorization allows the software giant to reacquire up to 1.9% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s board of directors believes its shares are undervalued.

Wall Street Analyst Weigh In

A number of analysts have recently issued reports on MSFT shares. JPMorgan Chase & Co. lowered their price target on Microsoft from $470.00 to $465.00 and set an “overweight” rating on the stock in a research note on Thursday, October 31st. Sanford C. Bernstein dropped their target price on shares of Microsoft from $501.00 to $500.00 and set an “outperform” rating for the company in a report on Friday, October 25th. The Goldman Sachs Group lowered their price target on shares of Microsoft from $515.00 to $500.00 and set a “buy” rating on the stock in a research report on Thursday, October 10th. UBS Group cut their price objective on shares of Microsoft from $510.00 to $500.00 and set a “buy” rating for the company in a report on Thursday, October 31st. Finally, BMO Capital Markets dropped their price target on Microsoft from $500.00 to $495.00 and set an “outperform” rating for the company in a research report on Thursday, October 31st. One investment analyst has rated the stock with a sell rating, three have issued a hold rating and twenty-six have issued a buy rating to the company’s stock. According to data from MarketBeat, Microsoft currently has a consensus rating of “Moderate Buy” and a consensus price target of $503.03.

Insider Activity at Microsoft

In related news, insider Bradford L. Smith sold 40,000 shares of the business’s stock in a transaction on Monday, September 9th. The shares were sold at an average price of $402.59, for a total value of $16,103,600.00. Following the completion of the sale, the insider now directly owns 544,847 shares of the company’s stock, valued at $219,349,953.73. The trade was a 6.84 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, EVP Christopher David Young sold 7,200 shares of the firm’s stock in a transaction dated Tuesday, November 12th. The stock was sold at an average price of $423.66, for a total value of $3,050,352.00. Following the transaction, the executive vice president now directly owns 103,366 shares in the company, valued at approximately $43,792,039.56. The trade was a 6.51 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 197,829 shares of company stock valued at $80,966,837 over the last quarter. 0.03% of the stock is owned by insiders.

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.