Zacks: Brokerages Anticipate Microsoft Co. (NASDAQ:MSFT) Will Announce Quarterly Sales of $32.21 Billion

Wall Street brokerages forecast that Microsoft Co. (NASDAQ:MSFT) will announce $32.21 billion in sales for the current quarter, Zacks reports. Eleven analysts have issued estimates for Microsoft’s earnings, with the highest sales estimate coming in at $32.83 billion and the lowest estimate coming in at $32.01 billion. Microsoft reported sales of $29.08 billion during the same quarter last year, which would suggest a positive year over year growth rate of 10.8%. The business is scheduled to announce its next quarterly earnings results on Wednesday, October 23rd.

On average, analysts expect that Microsoft will report full year sales of $139.76 billion for the current year, with estimates ranging from $138.42 billion to $140.98 billion. For the next year, analysts expect that the firm will post sales of $154.42 billion, with estimates ranging from $150.01 billion to $163.64 billion. Zacks Investment Research’s sales averages are a mean average based on a survey of research firms that follow Microsoft.

Microsoft (NASDAQ:MSFT) last announced its quarterly earnings data on Thursday, July 18th. The software giant reported $1.37 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of $1.21 by $0.16. The business had revenue of $33.72 billion during the quarter, compared to analyst estimates of $32.80 billion. Microsoft had a return on equity of 39.26% and a net margin of 31.18%. Microsoft’s quarterly revenue was up 12.1% compared to the same quarter last year. During the same period last year, the company earned $1.13 earnings per share.

A number of research analysts have recently issued reports on the stock. Goldman Sachs Group set a $151.00 price objective on shares of Microsoft and gave the company a “buy” rating in a report on Friday, July 19th. Mizuho set a $152.00 price objective on shares of Microsoft and gave the stock a “buy” rating in a research note on Friday, July 19th. Stifel Nicolaus increased their price objective on shares of Microsoft from $150.00 to $155.00 and gave the stock a “buy” rating in a research note on Friday, July 19th. BMO Capital Markets increased their price objective on shares of Microsoft from $147.00 to $153.00 and gave the stock an “outperform” rating in a research note on Tuesday, July 16th. Finally, Citigroup increased their price objective on shares of Microsoft from $147.00 to $152.00 and gave the stock a “neutral” rating in a research note on Friday, July 19th. One investment analyst has rated the stock with a sell rating, two have given a hold rating, twenty-eight have given a buy rating and two have assigned a strong buy rating to the company. The stock presently has a consensus rating of “Buy” and an average price target of $149.21.

NASDAQ:MSFT traded down $4.39 during trading hours on Friday, reaching $133.39. The company had a trading volume of 32,523,998 shares, compared to its average volume of 26,640,966. The firm has a market cap of $1,059.72 billion, a price-to-earnings ratio of 28.08, a P/E/G ratio of 2.41 and a beta of 1.23. The business’s 50-day simple moving average is $137.51 and its two-hundred day simple moving average is $125.68. Microsoft has a twelve month low of $93.96 and a twelve month high of $141.68. The company has a quick ratio of 2.50, a current ratio of 2.53 and a debt-to-equity ratio of 0.71.

The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 12th. Shareholders of record on Thursday, August 15th will be given a dividend of $0.46 per share. The ex-dividend date is Wednesday, August 14th. This represents a $1.84 dividend on an annualized basis and a dividend yield of 1.38%. Microsoft’s payout ratio is presently 38.74%.

In related news, CMO Christopher C. Capossela sold 3,372 shares of the stock in a transaction that occurred on Thursday, August 1st. The shares were sold at an average price of $138.06, for a total transaction of $465,538.32. Following the sale, the chief marketing officer now owns 136,623 shares in the company, valued at approximately $18,862,171.38. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Kathleen T. Hogan sold 15,947 shares of the stock in a transaction that occurred on Monday, June 10th. The stock was sold at an average price of $133.17, for a total transaction of $2,123,661.99. Following the sale, the executive vice president now owns 202,518 shares in the company, valued at approximately $26,969,322.06. The disclosure for this sale can be found here. Insiders have sold a total of 33,819 shares of company stock worth $4,603,450 in the last quarter. 1.38% of the stock is currently owned by company insiders.

Several hedge funds and other institutional investors have recently bought and sold shares of MSFT. RFG Advisory LLC raised its holdings in Microsoft by 23.6% in the 2nd quarter. RFG Advisory LLC now owns 25,173 shares of the software giant’s stock worth $3,363,000 after purchasing an additional 4,813 shares in the last quarter. Pactiv General Employee Benefit Trust boosted its position in shares of Microsoft by 10.4% in the second quarter. Pactiv General Employee Benefit Trust now owns 994,457 shares of the software giant’s stock worth $133,217,000 after buying an additional 93,988 shares during the period. Farmers National Bank boosted its position in shares of Microsoft by 0.8% in the second quarter. Farmers National Bank now owns 45,261 shares of the software giant’s stock worth $6,063,000 after buying an additional 345 shares during the period. Hodges Capital Management Inc. boosted its position in shares of Microsoft by 5.5% in the second quarter. Hodges Capital Management Inc. now owns 51,163 shares of the software giant’s stock worth $6,854,000 after buying an additional 2,690 shares during the period. Finally, Transamerica Financial Advisors Inc. acquired a new stake in shares of Microsoft in the second quarter worth $1,495,000. Institutional investors and hedge funds own 72.49% of the company’s stock.

About Microsoft

Microsoft Corporation develops, licenses, and supports software, services, devices, and solutions worldwide. Its company's Productivity and Business Processes segment offers Office 365 commercial products and services, such as Office, Exchange, SharePoint, Skype for Business, Microsoft Teams, and related Client Access Licenses (CALs); Office 365 consumer services, including Skype, Outlook.com, and OneDrive; LinkedIn online professional network; and Dynamics business solutions comprising financial management, enterprise resource planning, customer relationship management, supply chain management, and analytics applications for small and medium businesses, large organizations, and divisions of enterprises.

Featured Article: Outstanding Shares and The Effect on Share Price

Get a free copy of the Zacks research report on Microsoft (MSFT)

For more information about research offerings from Zacks Investment Research, visit Zacks.com

Earnings History and Estimates for Microsoft (NASDAQ:MSFT)

Receive News & Ratings for Microsoft Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Microsoft and related companies with MarketBeat.com's FREE daily email newsletter.