Microsoft Corporation (MSFT) Digs Deeper Into Driverless Vehicles With Volvo Partnership


It seems as if every other major tech firm these days is looking to claim their share of the future driverless vehicle market. Today the trend continued as Microsoft Corporation (NASDAQ:MSFT) announced a partnership with Volvo to both modernize the process of purchasing a car, as well as develor driverless vehicles.

The partnership, which would possibly pit Microsoft Corporation (NASDAQ:MSFT) against some of the largest tech firms on the planet, including Alphabet and Apple, could be beneficial to both companies involved.

Volvo currently controls between 1% and 2% of the entire automobile market, but has spent a considerable amount of money on R&D related to driverless Tech. On the other hand Microsoft unveiled their ‘Windows in the Car’ system last April which certainly showed investors that they too had interest in the future market.The stock increased 0.45% or $0.24 during the last trading session, hitting $53.93. About 9.00M shares traded hands. MSFT has risen 12.16% since April 24, 2015 and is uptrending. It has outperformed by 13.52% the S&P500.

Out of 14 analysts covering Microsoft Corporation (NASDAQ:MSFT), 10 rate it “Buy”, 2 “Sell”, while 2 “Hold”. This means 71% are positive. $65 is the highest target while $20 is the lowest. The $51.79 average target is -3.97% below today’s ($53.93) stock price. Microsoft Corporation was the topic in 28 analyst reports since July 22, 2015 according to StockzIntelligence Inc. UBS maintained the stock on November 23 with “Buy” rating. Vetr upgraded it to “Strong-Buy” rating and $47.60 target price in a September 2 report. Barclays Capital maintained the shares of MSFT in a report on October 23 with “Overweight” rating. Global Equities Research maintained the firm’s rating on August 28. Global Equities Research has “Overweight” rating and $50 price target. Finally, Stifel Nicolaus maintained the stock with “Buy” rating in an October 23 report.

The institutional sentiment decreased to 0.76 in Q2 2015. Its down 0.23, from 0.99 in 2015Q1. The ratio worsened, as 80 funds sold all Microsoft Corporation shares owned while 965 reduced positions. 103 funds bought stakes while 688 increased positions. They now own 5.67 billion shares or 4.58% less from 5.94 billion shares in 2015Q1.

Deccan Value Investors L.P. holds 28.05% of its portfolio in Microsoft Corporation for 2.26 million shares. Cook & Bynum Capital Management Llc owns 717,081 shares or 22% of their US portfolio. Moreover, Rwwm Inc. has 20.52% invested in the company for 885,842 shares. The California-based Valueact Holdings L.P. has invested 17.5% in the stock. Sarbit Advisory Services Inc., a Manitoba – Canada-based fund reported 2.68 million shares.

Since April 28, 2015, the stock had 0 insider purchases, and 4 insider sales for $370.34 million net activity. Gates William H Iii sold 4.00M shares worth $185.75 million. 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 $428.61 billion. The Firm also creates and sells hardware, and delivers online advertising to the customers. It has 36.23 P/E ratio. The Firm operates in five divisions: Devices and Consumer Licensing, D&C Hardware, D&C Other, Commercial Licensing, and Commercial Other.