Microsoft Corporation $MSFT Shares Newly Acquired by RB Capital Management LLC

RB Capital Management LLC purchased a new position in Microsoft Corporation (NASDAQ:MSFT) during the 2nd quarter, Holdings Channel reports. The fund purchased 27,919 shares of the software giant’s stock, valued at approximately $10,415,000. Microsoft makes up 2.0% of RB Capital Management LLC’s portfolio, making the stock its 11th biggest holding.

Several other institutional investors also recently added to or reduced their stakes in the stock. Denver PWM LLC bought a new position in Microsoft during the 2nd quarter worth about $2,783,000. Orion Capital Management LLC purchased a new position in Microsoft during the 2nd quarter valued at about $3,985,000. Bridger Management LLC purchased a new position in Microsoft during the 2nd quarter valued at about $4,588,000. Glenview Trust Co bought a new stake in shares of Microsoft in the 2nd quarter valued at about $194,258,000. Finally, North Star Asset Management Inc. bought a new stake in shares of Microsoft in the 2nd quarter valued at about $59,317,000. Hedge funds and other institutional investors own 71.13% of the company’s stock.

Microsoft News Roundup

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Microsoft’s AI diagnostic system reportedly diagnosed complex medical cases more than twice as often as generalist physicians in a simulation published in Science. The result supports the company’s ambitions in healthcare and “medical superintelligence.” Microsoft AI medical diagnostic study
• Positive Sentiment: Reports highlighted strong underlying cloud momentum: Azure annual revenue has surpassed $100 billion, cloud-services growth reached 43%, and Microsoft’s commercial backlog rose to approximately $678 billion. These trends could support the investment case if the company demonstrates continued acceleration in its upcoming earnings report. Microsoft cloud demand and backlog
• Positive Sentiment: CEO Satya Nadella said Microsoft is reorganizing around AI agents, broader model choice and lower-cost computing. The strategy could expand Copilot and Azure adoption across business workflows. Microsoft AI agent strategy
• Positive Sentiment: A strategic collaboration with Boehringer Ingelheim will pursue AI-backed clinical development and digital patient twins, providing another potential application for Microsoft’s cloud and AI platforms. Microsoft and Boehringer Ingelheim partnership
• Neutral Sentiment: Investors are focused on next week’s fiscal first-quarter earnings report. Analysts expect double-digit earnings growth, but the market increasingly wants evidence that Azure growth can keep pace with rivals and justify Microsoft’s substantial AI infrastructure investments. Microsoft earnings preview
• Negative Sentiment: Microsoft’s large AI capital expenditures remain a key valuation risk. While spending may create a long-term competitive moat, investors are concerned that data-center and infrastructure costs could pressure near-term returns, especially amid higher interest rates and market volatility. Microsoft AI spending and investment risk
• Negative Sentiment: Xbox announced pricing for cloud streaming of games users already own, prompting concerns about consumer reaction and pressure on Microsoft’s gaming business. Xbox cloud gaming pricing
• Negative Sentiment: Former CEO Bill Gates warned that AI could bring roughly two decades of disruption, reinforcing investor concerns about an AI investment bubble and the potential for expensive projects to produce uncertain returns. Bill Gates AI disruption comments

Insider Activity

In other Microsoft news, EVP Amy Hood sold 7,305 shares of the stock in a transaction that occurred on Tuesday, October 13th. The stock was sold at an average price of $545.42, for a total transaction of $3,984,293.10. Following the transaction, the executive vice president owned 555,396 shares in the company, valued at approximately $302,924,086.32. This represents a 1.30% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Takeshi Numoto sold 4,810 shares of the firm’s stock in a transaction that occurred on Tuesday, August 4th. The shares were sold at an average price of $496.48, for a total value of $2,388,068.80. Following the completion of the sale, the executive vice president directly owned 42,677 shares in the company, valued at approximately $21,188,276.96. The trade was a 10.13% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 150,314 shares of company stock worth $75,404,992 over the last 90 days. Company insiders own 0.03% of the company’s stock.

Analyst Upgrades and Downgrades

MSFT has been the subject of several research reports. Morgan Stanley cut shares of Microsoft from an “overweight” rating to a “negative” rating in a research report on Monday, October 5th. Bank of America lifted their price objective on shares of Microsoft from $500.00 to $600.00 and gave the company a “buy” rating in a report on Tuesday, September 1st. BNP Paribas Exane downgraded shares of Microsoft from a “strong-buy” rating to a “hold” rating in a research note on Monday, October 5th. Guggenheim restated a “buy” rating and set a $586.00 target price on shares of Microsoft in a report on Wednesday. Finally, Cantor Fitzgerald upped their target price on Microsoft from $522.00 to $608.00 and gave the stock an “overweight” rating in a report on Monday, September 21st. Forty-three research analysts have rated the stock with a Buy rating, four have given a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $592.15.

Microsoft Stock Performance

MSFT opened at $521.08 on Friday. The company has a current ratio of 1.23, a quick ratio of 1.22 and a debt-to-equity ratio of 0.07. The firm has a 50 day moving average of $507.93 and a two-hundred day moving average of $445.62. Microsoft Corporation has a 12-month low of $349.20 and a 12-month high of $553.72. The firm has a market capitalization of $3.87 trillion, a PE ratio of 29.01, a P/E/G ratio of 1.71 and a beta of 1.10.

Microsoft (NASDAQ:MSFT) last announced its quarterly earnings results on Wednesday, July 29th. The software giant reported $4.74 earnings per share for the quarter, topping the consensus estimate of $4.24 by $0.50. The company had revenue of $90.01 billion for the quarter, compared to the consensus estimate of $87.62 billion. Microsoft had a return on equity of 31.98% and a net margin of 40.31%. The firm’s revenue for the quarter was up 17.7% compared to the same quarter last year. During the same period last year, the firm earned $3.65 EPS. On average, analysts anticipate that Microsoft Corporation will post 19.65 EPS for the current year.

Microsoft Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, December 10th. Investors of record on Thursday, November 19th will be issued a dividend of $0.98 per share. This represents a $3.92 annualized dividend and a yield of 0.8%. This is a positive change from Microsoft’s previous quarterly dividend of $0.91. The ex-dividend date of this dividend is Thursday, November 19th. Microsoft’s dividend payout ratio is 20.27%.

Microsoft Profile

Microsoft Corporation (NASDAQ:MSFT) is a global technology company that develops software, cloud services, devices and digital platforms. Its products and services are used by consumers, businesses, governments and educational institutions worldwide.

The company’s principal offerings include the Windows operating system; Microsoft 365 productivity applications such as Word, Excel, Teams and Outlook; Azure cloud computing and infrastructure services; Dynamics business applications; and enterprise security solutions.