Microsoft enters red after seven straight sessions in green
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Microsoft (NASDAQ:MSFT) shares snapped seven straight sessions of gains, as the stock closed 1% lower at $430.81 on Wednesday.
The tech-giant gained 7.25% in the preceding seven sessions. The stock has gained 15.38% so far this year, compared to over 18% rise in the broader S&P 500 Index.
MSFT is up 3% over the past one month. The stock closed 0.88% higher on Tuesday at $435.15.
Microsoft, on Tuesday, declared a quarterly dividend of $0.83 per share, an increase of 10.7% and authorized a share buyback of $60B.
Analysts are optimistic about the stock, with Seeking Alpha’s Quant rating giving the stock a HOLD, with a rating of 3.44 out of 5. The company has received an A+ in terms of profitability and a D on valuation.
From the Wall Street Community, 54 out of 56 analysts recommend BUY and above, while 2 recommend to HOLD.
Seeking Alpha analysts are also bullish on the stock and see it as a BUY.
Analyst John Bowman believes Microsoft is still set to win the AI war. “It has falling CapEx, rising FCF, and a consistent ability to contribute value to shareholders with consistent dividends and increases to those dividends, share buybacks, and reducing liabilities. It is set to catch up to market returns and potentially outperform if it stays on the same trajectory,” Bowman said.