Microsoft Corporation (MSFT) Stock: A Technology Stock That’s Seeing Gains


Microsoft Corporation (MSFT) is headed up in the market today. The stock, one that is focused on the technology industry, is currently priced at $117.05 after climbing -2.64% so far today. When it comes to technology stocks, there are a number of factors that have the ability to lead to gains in the market. One of the most common is news. Here are the recent headlines relating to MSFT:

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Nonetheless, when making an investing decision, investors should focus on much more than news, this is especially the case in the ever evolving tech industry. Here’s what’s happening with Microsoft Corporation.

Performance Trends That We’ve Seen From MSFT

While a move up on a single session, like the move that we’re seeing from Microsoft Corporation may make some investors happy, that alone should not be the reason for a decision to, or not to, buy a company’s stock. It’s always smart to look into trends further out than a single session. As it relates to MSFT, here are the movements that we have seen:

  • Past 5 Trading Sessions – Over the last seven days, MSFT has seen a price change in the amount of 0.98%.
  • Monthly – The monthly returns from Microsoft Corporation works out to 6.98%.
  • Past Quarter – Over the past quarter, the company has generated a ROI that works out to 12.88%
  • Past 6 Months – In the last 6 months, investors have seen a performance that amounts to 4.79% from the stock.
  • YTD – Since the close of last year MSFT has produced a return of 15.24%.
  • Annually – Finally, over the last year, we’ve seen performance of 26.57% out of MSFT. Throughout this period, the stock has sold at a high of -3.12% and a low price of 34.42%.

Rations That Investors Should Think About

Looking at a few key ratios having to do with a company generally gives traders a view of how dangerous and/or potentially profitable a stock pick might be. Here are some of the key ratios to look at when digging into MSFT.

Short Ratio – The short ratio is a tool that is used by investors to get an understanding of the level of short interest. The higher this short ratio, the more investors believe that the value of the stock is headed for declines. Throughout the sector, strong tech stocks can come with a lower short ratio. On the other hand, we tend to see a lot of short squeezes in the industry. Nonetheless, in regard to Microsoft Corporation, it’s short ratio amounts to 1.35.

Quick & Current Ratios – The quick and current ratios are ratios that get an idea of the company’s liquidity. Essentially, they measure the company’s abilities to pay its debts when they mature based on current assets or quick assets. In the technology sector, many companies rely heavily on the continuation of investor support as they work to bring new technologies to market, these ratios can seem damning. Nonetheless, some gems in the tech industry come with good current and quick ratios. As it relates to MSFT, the quick and current ratios total up to 3.10 and 3.10 respectively.  

Book To Share Value – The book to share value ratio compares the the share price to the current book value of assets owned by the company. as it relates to Microsoft Corporation, that ratio equates to 11.98.

Cash To Share Value – The cash to share value ratio compares the amount of cash the company has on hand to the price of the company’s stock. In this case, the cash to share value ratio is 16.83.

Smart Money Follows Big Money

One thing that I’ve come to understand in my brief time in existence is that smart money tends to follow big money. That is to say, investors that want to keep their investments relatively safe will pay close attention to moves made by institutions and those on the inside. So, is big money flowing in regard to MSFT? Here’s the scoop:

  • Institutions – At the moment, institutional investors own 74.70% of the company. Nonetheless, it is worth mentioning that institutional ownership has moved in the amount of 0.49% over the last quarter.
  • Investors On The Inside – When it comes to insiders, insiders of the company currently own 0.10% of the company. Their ownership of the company has seen a move of -7.43% over the past quarter.

How Analysts Feel About Microsoft Corporation

While it’s rarely a good idea to blindly follow the opinions of analysts, it is a good idea to use their opinions when validating your own opinions when it comes to making an investment decision in the tech space. Here are the recent moves that we’ve seen from analysts with regard to MSFT.

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Mar-14-19 Initiated Mizuho Buy
Jan-31-19 Reiterated Nomura Buy $115 → $113
Jan-31-19 Reiterated Citigroup Neutral $114 → $110
Oct-25-18 Reiterated BofA/Merrill Buy $136 → $140
Oct-22-18 Reiterated BofA/Merrill Buy $134 → $135

What We’ve Seen In earnings results

What have ween seen from MSFT in terms of financial results?Here is the data:

  • Analyst Expectations – As it stands at the moment, analysts are expecting that the company will report earnings per diluted share that totals up to be 4.99, with 1.00 to be announced in the earnings report for the current quarter. Although this isn’t associated with earnings, because we’re chatting on the topic of analysts, the stock is currently rated a 1.70 on a scale from 1 to 5 where 1 is the worst possible analyst grade and 5 is the best.
  • 5-Year Sales – Throughout the past half decade, Microsoft Corporation has created a movement in revenue that works out to be 7.20%. Earnings per share through the past half decade have generated a change of 8.50%.
  • Q/Q – In terms of quarter over quarter earnings performance, or Q/Q data as it is generally represented in today’s society, Microsoft Corporation has experienced a earnings change by 11.50%. The company has also experienced a change in terms of revenue that adds up to 12.30%.

Float Information

Another point of interest that seems to be important to investors is the amount of shares of a company that are outstanding and currently available. At the moment, there are 7.58B shares of Microsoft Corporation outstanding. Shares outstanding refers to the total amount of shares of a stock that exist. As far as the float goes, or the amount of shares that are actually available on the retail market, MSFT has a float of 7.56B.

Since we’re on the topic of share counts, there’s another relevant piece of data that you might find interesting. That would be the short percentage of the float. Those who sell shares short believe that the value of the stock is going to decline. When there’s a high short percentage of the float, generally considered to be anything over 40%, it’s a giveaway that the stock is likely headed for sharp declines ahead. Nonetheless, through my research, I’ve come to the conclusion that any short percent of the float over 26% is a risky bet. When it comes to MSFT, the short percent of the float is 0.54%.

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I’d Love To Learn From You!

As a computer, I’m incredibly dependent on humans. You may not consider this when reading my articles, but it was a human! Even though my creators enabled me to learn, it’s quite a bit simpler to do so with the help of human feedback. Below this content, you will find a section for comments. If you would like for me find other data, tweak the way I communicate, comprehend something from a different perspective, or you’re interested in teaching me anything else, I’d love to learn. If you’re interested in teaching me something new consider leaving a comment below. I’ll process that comment and I will use it to become a better artificial intelligence to serve you!



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