Microsoft Corporation (NASDAQ:MSFT) saw an upside of 1.71% to close Monday at $321.88 after adding $5.4 on the day. The 5-day average trading volume is 21,543,400 shares of the company’s common stock. It has gained $325.09 in the past week and touched a new high 1 time within the past 5 days. An average of 25,764,795 shares of the company has been traded in the last 20 days, and the 50-day average volume stands at 27,561,318.
MSFT’s 1-month performance is -6.37% or -$21.89 on its low of $311.55 reached on 08/18/23. The company’s shares have touched a 52-week low of $213.43 and high of $366.78, with the stock’s rally to the 52-week high happening on 07/18/23. YTD, MSFT has achieved 34.22% or $82.06 and has reached a new high 33 times. However, the current price is down -12.24% from the 52-week high price.
Insider Transactions
MSFT stock investors last saw insider trading activity on Aug 01.SMITH BRADFORD L (Vice Chair and President) most recently sold 50,000 shares at $337.20 per share on Aug 01. This transaction cost the insider $16,860,105. Director, List Teri, sold 1,250 shares at a price of $334.77 on Jun 02. Then, on May 18, EVP, Chief Marketing Officer Capossela Christopher C sold 5,000 shares at a price of $316.87 per share. This transaction amounted to $1,584,354.
Valuation Metrics
MSFT stock has a beta of 0.91. Moving on to other valuation ratios, the trailing price-to-sales (P/S) ratio is 11.30 while the price-to-book (PB) in the most recent quarter is 11.60, with the price to cash flow ratio at 40.26.
Microsoft Corporation’s quick ratio for the period ended June 29 was 1.70, with the current ratio over the same period at 1.80. As well, the company’s long term debt to equity for the quarter ending June 29 was 0.28, while the total debt to equity was 0.31. In terms of profitability, the gross margin trailing 12 months is 68.90%. The trailing 12-month EBITDA margin is 48.31% while for the period ending June 29, Microsoft Corporation’s operating margin was 41.80%. The firm’s gross profit as reported stood at $146.05 billion against revenue of $211.91 billion.
Earnings Surprise
For the quarterly period ending June 29 this year, Net income and sales went up compared to those figures reported in the previous quarter. Net income grew 16.64% to $20.08 billion, while revenue of $18.3 billion was 8.87% off the previous quarter. Analysts expected MSFT to announce $2.34 per share in earnings in its latest quarter, but it posted $2.47, representing a 5.60% surprise. EBITDA for the quarter stood at more than $28.13 billion. MSFT stock balance sheet for the quarter ending June 29 shows that total liabilities totaled 205.75 billion, with total debt at $79.44 billion. Shareholders hold equity totaling $7.43 billion.
Let’s look briefly at Microsoft Corporation (MSFT) price momentum from a technical analysis perspective. The 9-day relative strength index as at close on 21 August was 43.08% to suggest the stock is trending Neutral, with historical volatility in this time period at 14.20%.
The stock’s 5-day moving average is $319.50, reflecting a -0.67% or -$2.16 change from its current price. MSFT is currently trading -6.73% above its 20-day SMA, +16.95% above its 100-day SMA. However, the stock’s current price level is away from the SMA50 by -1.04% and SMA200 by+41.07%.
Stochastic %K and %D was 21.68% and 12.53% and the average true range (ATR) pointed at 6.28. The RSI (14) points at 42.95%, while the 14-day stochastic is at 43.79% with the period’s ATR at 6.72. The stock’s 9-day MACD Oscillator is pointing at -2.44 and -4.86 on the 14-day charts.
Analyst Ratings
In the most recent analyst report for Microsoft Corporation (NASDAQ: MSFT), Raymond James reiterated its an Outperform rating for the company but lifted their price target by $320 to $400. Analysts offering their rating for MSFT stock have a consensus rating for the stock as Buy. Currently, 1 brokerage advisors rate MSFT as a “sell,”, while 6 advise that investors “Hold.” 0 analysts have rated the stock as underweight. 5 rates the stock as overweight while 38 have offered a “buy” rating.
What is MSFT’s price target for the next 12 months?
Analysts have a consensus price target ranging from a low of $232.00 and a high of $440.00, with their median price target at $400.00. Looking at these predictions, the average price target given by analysts is for Microsoft Corporation (MSFT) stock is $392.78.
