Microsoft Corporation (NASDAQ:MSFT) rose 0.64% in recent trade and currently has a stock-market value of $845.84B. The shares finished at $110.89, after trading as low as $109.36 earlier in the session. It hit an intraday high Friday at $110.97. Trading activity significantly weakened as the volume at ready counter decreased to 33,535,660 shares versus 34,342,180 in average daily trading volume over the past 20 days. So far this year, the volume has averaged about 30,108,160 shares. The stock is now 37.41% above against its bear-market low of $80.7 on December 04, 2017. It has retreated -4.77% since it’s 52-week high of $116.18 reached in October. Now the market price is up 31.75% on the year and up 29.64% YTD.
MSFT’s 50 day simple moving average (SMA 50) price is $109.02 and its 200-day simple moving average (SMA 200) price is $102.47. The company’s stock currently has a total float of 7.57B shares. Its weekly volatility is hovering around 2.09% and felt 2.48% volatility in price over a month. On the upside, the share price will test short term resistance at around $111.45. On a downside, the stock is likely to find some support, which begins at $109.84. The failure to get near-term support could push it to $108.8.
Separately, it has been reported that multiple insider activity took place at Microsoft Corporation (MSFT). EVP, Human Resources Hogan Kathleen T sold 36,500 shares for $226,801 in transaction occurred on 2018/11/08. After making this transaction, the EVP, Human Resources owns a direct stake of 4,061,720 shares, worth $25,149,963, as per the last closing price. On 2018/11/05 Brod Frank H, Chief Accounting Officer at MSFT, dumped 2,000 shares at an average price of $107.18 per share. The selling total is valued at $7,171,922.
Chief Accounting Officer, Brod Frank H had divested 20,000 shares for $66,676 through a trade on 2018/10/31. Following this activity, the insider holds 2,154,000 shares worth $7,393,702 since the company’s last earnings report most bullish Microsoft Corporation (NASDAQ:MSFT) analysts are predicting the share price to blow past $160 per share during the next 12 months. The current median share price forecast by them is $125.7, suggesting that the stock could increase 13.36% in that time frame. The average price target of $126.28 calls for a nearly 13.88% increase in the stock price.
It had seen a change in price target from analysts at BofA/Merrill, who reiterated the stock at Buy on October 25 but moved PT from $136 to $140. Analysts at BofA/Merrill, maintained the company shares at Buy on October 22 but switched target price from $134 to $135. Analysts at Wedbush, made their first call about the stock on October 19, recommending it is Outperform.
When looking at valuations, Microsoft Corporation (MSFT) has a cheap P/E of 26.45x as compared to industry average of 39.5x. Moreover, it trades for 22.03 times the next 12 months of expected earnings. Also, it is trading at rather expensive levels at just over 9.9x price/book and 7.36x price/sales. Compared to others, Microsoft Corporation is in a different league with regards to profitability, having net margins of 16.4%. To put some perspective around this, the industry’s average net margin is 9.11%. MSFT’s ROE is 23.1%, which is also considerably better than the industry’s ROE of -122.57%. It’s also very liquid in the near term, with a current ratio of 2.9. The stock has a debt/capital of 0.94.
Shares of Microsoft Corporation (MSFT) have dropped -18% since the company’s Jun-18 earnings report. Over the past 12 fiscal quarters, Microsoft Corporation (NASDAQ:MSFT) has topped consensus earnings estimates in 11 quarters (91%), missed earnings in 1 quarters (8%), whereas at 0 occasion EPS met analyst expectations. MSFT last reported earnings on October 24, 2018 when it released Sep-18 results that exceeded expectations. The company raked in $1.14 per share, -93.79% change on the same period last year. That was better than consensus for $0.96. Revenue for the recent quarter stood at $29.08 billion, up 19% on last year and above the $27.9 billion predicted by analysts. For this quarter, Wall Street analysts forecast revenue in a range of $28.84 billion to $29.51 billion, which should be compared with $0 generated last year.