Pacific Edge Advisors LLC Cuts Position in Microsoft Co. (NASDAQ:MSFT)

Pacific Edge Advisors LLC decreased its holdings in Microsoft Co. (NASDAQ:MSFT) by 17.7% during the 2nd quarter, HoldingsChannel reports. The institutional investor owned 3,950 shares of the software giant’s stock after selling 850 shares during the quarter. Microsoft accounts for approximately 0.3% of Pacific Edge Advisors LLC’s investment portfolio, making the stock its 26th largest holding. Pacific Edge Advisors LLC’s holdings in Microsoft were worth $529,000 as of its most recent filing with the SEC.

A number of other hedge funds and other institutional investors have also bought and sold shares of MSFT. PNC Financial Services Group Inc. grew its stake in shares of Microsoft by 1.1% during the fourth quarter. PNC Financial Services Group Inc. now owns 13,537,606 shares of the software giant’s stock valued at $1,375,016,000 after buying an additional 150,105 shares during the last quarter. M&R Capital Management Inc. grew its stake in shares of Microsoft by 0.7% during the fourth quarter. M&R Capital Management Inc. now owns 76,614 shares of the software giant’s stock valued at $7,781,000 after buying an additional 551 shares during the last quarter. TCG Advisors LP bought a new position in shares of Microsoft during the fourth quarter valued at about $203,000. Stordahl Capital Management Inc. grew its stake in shares of Microsoft by 13.7% during the fourth quarter. Stordahl Capital Management Inc. now owns 3,096 shares of the software giant’s stock valued at $314,000 after buying an additional 372 shares during the last quarter. Finally, Mission Wealth Management LP grew its stake in shares of Microsoft by 0.9% during the fourth quarter. Mission Wealth Management LP now owns 257,964 shares of the software giant’s stock valued at $26,201,000 after buying an additional 2,410 shares during the last quarter. Hedge funds and other institutional investors own 72.16% of the company’s stock.

In other news, insider Frank H. Brod sold 4,000 shares of Microsoft stock in a transaction that occurred on Monday, July 29th. The shares were sold at an average price of $141.05, for a total transaction of $564,200.00. Following the completion of the transaction, the insider now directly owns 64,152 shares in the company, valued at $9,048,639.60. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Amy Hood sold 123,769 shares of Microsoft stock in a transaction that occurred on Wednesday, September 4th. The shares were sold at an average price of $137.26, for a total transaction of $16,988,532.94. Following the transaction, the chief financial officer now owns 433,940 shares of the company’s stock, valued at $59,562,604.40. The disclosure for this sale can be found here. Insiders have sold 318,757 shares of company stock valued at $43,735,918 over the last quarter. Company insiders own 1.38% of the company’s stock.

A number of research analysts have recently issued reports on the company. BMO Capital Markets raised their price objective on Microsoft from $147.00 to $153.00 and gave the company an “outperform” rating in a research note on Tuesday, July 16th. Morgan Stanley set a $155.00 target price on Microsoft and gave the stock a “buy” rating in a research note on Monday, September 23rd. Oppenheimer raised their target price on Microsoft from $145.00 to $160.00 and gave the stock an “outperform” rating in a research note on Friday, July 19th. JPMorgan Chase & Co. reissued a “buy” rating and issued a $155.00 target price on shares of Microsoft in a research note on Friday, July 19th. Finally, Raymond James raised their target price on Microsoft from $160.00 to $163.00 and gave the stock a “strong-buy” rating in a research note on Friday, July 19th. One analyst has rated the stock with a sell rating, three have issued a hold rating, twenty-six have assigned a buy rating and one has given a strong buy rating to the stock. The stock has a consensus rating of “Buy” and a consensus target price of $149.21.

MSFT stock opened at $138.12 on Friday. The firm has a 50 day moving average price of $137.20 and a 200-day moving average price of $131.31. Microsoft Co. has a 52-week low of $93.96 and a 52-week high of $142.37. The firm has a market capitalization of $1,054.60 billion, a price-to-earnings ratio of 29.08, a PEG ratio of 2.38 and a beta of 1.22. The company has a debt-to-equity ratio of 0.71, a quick ratio of 2.50 and a current ratio of 2.53.

Microsoft (NASDAQ:MSFT) last released its earnings results on Thursday, July 18th. The software giant reported $1.37 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $1.21 by $0.16. Microsoft had a net margin of 31.18% and a return on equity of 39.26%. The firm had revenue of $33.72 billion during the quarter, compared to analyst estimates of $32.80 billion. During the same period last year, the business earned $1.13 earnings per share. The business’s revenue was up 12.1% on a year-over-year basis. As a group, sell-side analysts forecast that Microsoft Co. will post 5.23 earnings per share for the current fiscal year.

Microsoft declared that its board has initiated a stock buyback plan on Wednesday, September 18th that allows the company to buyback $40.00 billion in shares. This buyback authorization allows the software giant to purchase up to 3.8% of its stock through open market purchases. Stock buyback plans are typically a sign that the company’s board believes its shares are undervalued.

The firm also recently announced a quarterly dividend, which will be paid on Thursday, December 12th. Stockholders of record on Thursday, November 21st will be issued a dividend of $0.51 per share. This represents a $2.04 annualized dividend and a dividend yield of 1.48%. This is a positive change from Microsoft’s previous quarterly dividend of $0.46. The ex-dividend date is Wednesday, November 20th. Microsoft’s dividend payout ratio (DPR) is presently 38.74%.

Microsoft Profile

Microsoft Corporation develops, licenses, and supports software, services, devices, and solutions worldwide. Its company's Productivity and Business Processes segment offers Office 365 commercial products and services, such as Office, Exchange, SharePoint, Skype for Business, Microsoft Teams, and related Client Access Licenses (CALs); Office 365 consumer services, including Skype, Outlook.com, and OneDrive; LinkedIn online professional network; and Dynamics business solutions comprising financial management, enterprise resource planning, customer relationship management, supply chain management, and analytics applications for small and medium businesses, large organizations, and divisions of enterprises.

Further Reading: Buyback For Investors Defined

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Institutional Ownership by Quarter for Microsoft (NASDAQ:MSFT)

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