Microsoft (NASDAQ:MSFT) Stock Price Target Raised at DA Davidson

Microsoft (NASDAQ:MSFT) had its price objective boosted by equities research analysts at DA Davidson from $550.00 to $650.00 in a research report issued to clients and investors on Thursday, Benzinga reports. The firm presently has a “buy” rating on the software giant’s stock. DA Davidson‘s target price would indicate a potential upside of 24.16% from the company’s previous close.

Several other research analysts have also weighed in on the stock. Citizens Jmp increased their target price on shares of Microsoft from $550.00 to $625.00 and gave the stock a “market outperform” rating in a research note on Thursday. Piper Sandler reiterated an “overweight” rating and issued a $650.00 target price (up from $610.00) on shares of Microsoft in a report on Thursday. Melius Research set a $665.00 target price on Microsoft and gave the company a “buy” rating in a research report on Monday, October 5th. Stifel Nicolaus boosted their target price on Microsoft from $575.00 to $650.00 and gave the company a “buy” rating in a research report on Thursday. Finally, Rothschild & Co Redburn set a $440.00 price target on Microsoft in a research note on Monday, September 21st. Forty-five investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $607.93.

Microsoft Trading Down 1.4%

NASDAQ:MSFT traded down $7.50 on Thursday, reaching $523.51. The company’s stock had a trading volume of 19,687,711 shares, compared to its average volume of 33,390,289. Microsoft has a 12-month low of $349.20 and a 12-month high of $551.15. The company has a quick ratio of 1.22, a current ratio of 1.23 and a debt-to-equity ratio of 0.07. The firm has a market cap of $3.89 trillion, a price-to-earnings ratio of 29.11, a price-to-earnings-growth ratio of 1.68 and a beta of 1.10. The stock has a 50 day moving average price of $511.18 and a 200 day moving average price of $437.96.

Microsoft (NASDAQ:MSFT) last released its quarterly earnings results on Wednesday, October 28th. The software giant reported $4.89 earnings per share for the quarter, topping analysts’ consensus estimates of $4.71 by $0.18. The business had revenue of $92.28 billion during the quarter, compared to analysts’ expectations of $90.62 billion. Microsoft had a return on equity of 31.98% and a net margin of 40.31%. The company’s revenue was up 18.8% compared to the same quarter last year. During the same period in the prior year, the business posted $4.13 EPS. On average, equities analysts anticipate that Microsoft will post 19.66 EPS for the current fiscal year.

Insider Buying and Selling

In related news, CEO Judson Althoff sold 10,000 shares of the company’s stock in a transaction that occurred on Wednesday, August 5th. The shares were sold at an average price of $487.89, for a total transaction of $4,878,900.00. Following the sale, the chief executive officer directly owned 100,447 shares in the company, valued at approximately $49,007,086.83. This represents a 9.05% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Takeshi Numoto sold 4,810 shares of the stock in a transaction 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 transaction, the executive vice president directly owned 42,677 shares in the company, valued at $21,188,276.96. This trade represents a 10.13% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 150,314 shares of company stock worth $75,404,992 in the last quarter. Company insiders own 0.03% of the company’s stock.

Hedge Funds Weigh In On Microsoft

A number of hedge funds and other institutional investors have recently made changes to their positions in MSFT. Bank of America Corp DE purchased a new stake in shares of Microsoft in the second quarter valued at about $27,338,370,000. Legal & General Group Plc purchased a new position in Microsoft in the 2nd quarter valued at approximately $18,306,443,000. Jupiter Topco LLC acquired a new position in Microsoft during the second quarter worth $6,928,664,000. Canada Pension Plan Investment Board purchased a new stake in Microsoft during the second quarter worth $5,653,812,000. Finally, The Manufacturers Life Insurance Company acquired a new stake in Microsoft in the second quarter valued at $4,000,706,000. Hedge funds and other institutional investors own 71.13% of the company’s stock.

Trending Headlines about Microsoft

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Microsoft exceeded expectations with fiscal first-quarter revenue of $92.28 billion and adjusted EPS of $4.89, compared with estimates of $90.62 billion and $4.71. Revenue increased 18.8% year over year. Microsoft earnings report
• Positive Sentiment: Azure growth accelerated 48% to approximately $33.2 billion, while Microsoft Cloud revenue rose 30% to $63.9 billion. The results suggest enterprise AI demand is converting into meaningful cloud revenue, helping the company outperform Alphabet in investor sentiment. Azure revenue growth
• Positive Sentiment: Analysts raised their targets, including Cantor Fitzgerald to $630, Piper Sandler to $650 and Bank of America to $630, citing Azure momentum, AI adoption and Microsoft’s strong cash generation. Microsoft analyst price target
• Neutral Sentiment: Microsoft reportedly plans to raise at least $25 billion in bonds, its first major U.S. debt sale since 2017, to fund AI infrastructure. The financing underscores demand and investment capacity, but also increases scrutiny of returns and leverage as spending expands. Microsoft bond sale
• Negative Sentiment: Microsoft reduced its 2026 capital-expenditure forecast to $170 billion from $175 billion after delays by third-party AI-chip providers pushed some capacity into the first half of 2027. The delay raises questions about near-term growth timing and contributed to weakness across AI infrastructure stocks. Microsoft AI capital expenditures
• Negative Sentiment: OpenAI generated about $10 billion, or nearly 11%, of Microsoft’s quarterly revenue. While commercially significant, the concentration highlights customer and related-party exposure as Microsoft and OpenAI increasingly compete in some AI markets. Microsoft OpenAI revenue

Microsoft Company 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.