Microsoft Co. (NASDAQ:MSFT) Holdings Trimmed by Genesee Capital Advisors LLC

Microsoft Co. (NASDAQ:MSFT) Holdings Trimmed by Genesee Capital Advisors LLC

  • 21.03.2025 08:36
  • etfdailynews.com
  • Keywords: AI, Startup

Genesee Capital Advisors reduced its Microsoft holdings by 1.4%, selling 103 shares, while other investors increased their stakes. Analysts have set varied price targets for MSFT, with a consensus "Moderate Buy" rating and a $510.59 target. Microsoft's stock opened at $386.84, up 0.3%, with a dividend of $0.83 per share announced for June 12th.

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Estimated market influence

Microsoft Co.

Microsoft Co.

Negativesentiment_dissatisfied
Analyst rating: Strong buy

Genesee Capital Advisors LLC decreased its position in Microsoft Co. by 1.4%.

Genesee Capital Advisors LLC

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Analyst rating: N/A

Decreased their position in Microsoft Co., but still holds a significant investment.

Context

Analysis of Microsoft Co. (NASDAQ:MSFT) Holdings and Market Implications

Key Facts and Data Points

  • Genesee Capital Advisors LLC:

    • Trimmed Microsoft holdings by 1.4% in Q4.
    • Sold 103 shares, ending with 7,354 shares.
    • Total holdings worth $3,100,000 (approximately 1.4% of portfolio).
    • Microsoft is the 13th largest holding for Genesee Capital Advisors.

  • Other Institutional Investors:

    • Net Worth Advisory Group: Bought a new stake in Microsoft during Q3 worth $2,645,000.
    • Oak Ridge Investments LLC: Increased holdings by 7.6%, now owning 263,534 shares worth $113,399,000.
    • Focus Financial Network Inc.: Grew stake by 2.0%, now owning 76,296 shares worth $32,830,000.
    • Campbell Wealth Management: Bought a new stake in Microsoft during Q3 worth $3,314,000.
    • Evernest Financial Advisors LLC: Increased holdings by 389.2%, now owning 53,770 shares worth $23,137,000.

  • Hedge Fund Ownership:

    • Institutional investors and hedge funds own 71.13% of Microsoft’s stock.

Analysts’ Price Targets and Sentiment

  • Consensus Rating: “Moderate Buy” with a consensus price target of $510.59.
  • Analyst Adjustments:
    • Wedbush: Reiterated “outperform” rating, set $550.00 price objective.
    • Stifel Nicolaus: Lowered target from $515.00 to $475.00, maintained “buy” rating.
    • Royal Bank of Canada: Reiterated “outperform” rating, set $500.00 price objective.
    • Morgan Stanley: Reduced target from $540.00 to $530.00, maintained “overweight” rating.
    • UBS Group: Lowered target from $525.00 to $510.00, maintained “buy” rating.

Microsoft Stock Performance and Financials

  • Stock Price:

    • Opened at $386.84 on Friday.
    • 1-year low: $376.91, 1-year high: $468.35.
    • Market cap: $2.88 trillion.

  • Financial Metrics:

    • P/E ratio: 31.15.
    • PEG ratio: 2.21.
    • Beta: 0.92.
    • 50-day SMA: $409.38, 200-day SMA: $419.85.

  • Earnings:

    • Q4 EPS: $3.23, beating consensus estimate of $3.15.
    • Return on equity (ROE): 33.36%.
    • Net margin: 35.43%.
    • Analysts forecast 13.08 EPS for the current year.

Dividend Information

  • Dividend Announcement: Microsoft declared a quarterly dividend of $0.83 per share, payable on June 12, 2024.
  • Stockholders of Record: May 15, 2024.
  • Annualized Dividend: $3.32.
  • Dividend Yield: 0.86%.
  • Dividend Payout Ratio (DPR): 26.73%.

Market Implications and Competitive Dynamics

  1. Investor Sentiment:

    • Mixed signals from institutional investors, with some trimming positions while others increase holdings.
    • Reflects potential portfolio reallocation or risk management strategies rather than a lack of confidence in Microsoft’s fundamentals.

  2. Analyst Consensus:

    • The “Moderate Buy” rating indicates cautious optimism about the stock’s long-term prospects.
    • Lowered price targets by some analysts suggest concerns about near-term growth or valuation levels.

  3. Competitive Landscape:

    • Microsoft remains a dominant player in software, cloud computing, and productivity tools.
    • Its strong financial performance and growing dividend indicate stability and potential for long-term returns.

  4. Strategic Considerations:

    • The company’s focus on AI-driven products (e.g., Microsoft 365 Copilot) positions it well for future growth in the enterprise software market.
    • Continued investment in cloud infrastructure and AI could further solidify its competitive position.

  5. Regulatory Environment:

    • No significant regulatory developments mentioned, but antitrust scrutiny remains a potential risk for large tech companies.

Long-Term Effects and Market Trends

  • Growth Potential: Microsoft’s diversified product portfolio and strong financial health suggest continued growth opportunities.
  • Shareholder Returns: The combination of dividend payments and stock buybacks (if any) could enhance shareholder value over the long term.
  • Market Volatility: The tech sector remains volatile, with risks including macroeconomic factors and shifts in investor sentiment.

Conclusion

Microsoft’s recent financial performance, coupled with mixed signals from institutional investors and analysts, highlights both opportunities and challenges. While the company’s fundamentals remain strong, investors should monitor developments in the broader market and competitive landscape.