Shares of Microsoft Corporation (NASDAQ:MSFT) have just struck a 15-year high. The stock, which has been on a fire as of late has reached the highest level it’s been since January of 2000, right in the middle of the dot-com bubble.
The rise in Microsoft Corporation (NASDAQ:MSFT) shares has more to do with the overall market than any particular event pertaining to the company. The NASDAQ is currently up 2.07% on the day to 5141.99. With a PE ratio of over 37, investors need to wonder if the stock is perhaps becoming a tad bit overvalued. The stock is up 3.15% or $1.71 following the news, hitting $55.91 per share. About 30.19M shares traded hands. MSFT has risen 11.39% since May 1, 2015 and is uptrending. It has outperformed the S&P500 by 11.59%.
From a total of 15 analysts covering Microsoft Corporation (NASDAQ:MSFT) stock, 11 rate it a “Buy”, 2 a “Sell”, and 2 a “Hold”. This means that 73% of the ratings are positive. The highest target price is $65 while the lowest target price is $20. The mean of all analyst targets is $51.79 which is -7.37% below today’s ($55.91) stock price. Microsoft Corporation was the topic of 29 analyst reports since July 22, 2015 according to the firm StockzIntelligence Inc. Raymond James upgraded shares on November 30 to a “Strong Buy” rating. Vetr upgraded shares to a”Strong-Buy” rating and a $47.60 target share price in their report from a September 2. Piper Jaffray maintained MSFT stock in a recent report from November 10 with a “Overweight” rating. Global Equities Research maintained the rating on August 28. Global Equities Research has a “Overweight” rating and a $50 price target on shares. Finally, Bank of America upgraded the stock to a “Buy” rating in a report they issued on an October 23.
The institutional sentiment decreased to 0.76 in Q2 2015. It’s down 0.23, from 0.99 in 2015Q1. The ratio dropped, as 80 funds sold all their Microsoft Corporation shares they owned while 965 reduced their positions. 103 funds bought stakes while 688 increased their total positions. Institutions now own 5.67 billion shares which is 4.58% less than the previous share count of 5.94 billion in 2015Q1.
Deccan Value Investors L.P. holds 28.05% of its total portfolio in Microsoft Corporation, equating to 2.26 million shares. Cook & Bynum Capital Management Llc owns 717,081 shares representing 22% of their total US portfolio. Moreover, Rwwm Inc. has 20.52% of their total portfolio invested in the company, equating to 885,842 shares. The California-based Valueact Holdings L.P. has a total of 17.5% of their portfolio invested in the stock. Sarbit Advisory Services Inc., a Manitoba – Canada-based fund reported 2.68 million shares owned.
Since April 28, 2015, the stock had 0 buys, and 4 selling transactions for a total of $370.34 million in net activity. Gates William H Iii sold 4.00 million shares worth $185.75M. Turner Brian Kevin sold 69,158 shares worth $3.16 million. Capossela Christopher C sold 4,485 shares worth $218,464. Brod Frank H sold 4,500 shares worth $215,294.
Microsoft Corporation is engaged in developing, licensing and supporting a range of software services and products. The company has a market cap of $431.94 billion. The Firm also creates and sells hardware, and delivers online advertising to the customers. It has 37.56 P/E ratio. The Firm operates in five divisions: Devices and Consumer Licensing, D&C Hardware, D&C Other, Commercial Licensing, and Commercial Other.