Wedbush Forecasts Microsoft’s Q3 Earnings (NASDAQ:MSFT)

Microsoft Co. (NASDAQ:MSFT) – Analysts at Wedbush decreased their Q3 2025 earnings per share (EPS) estimates for Microsoft in a research report issued on Thursday, January 30th. Wedbush analyst D. Ives now anticipates that the software giant will post earnings per share of $3.22 for the quarter, down from their prior estimate of $3.34. Wedbush currently has a “Outperform” rating and a $550.00 target price on the stock. The consensus estimate for Microsoft’s current full-year earnings is $13.03 per share. Wedbush also issued estimates for Microsoft’s Q4 2025 earnings at $3.44 EPS, FY2025 earnings at $13.19 EPS, Q2 2026 earnings at $3.73 EPS, Q3 2026 earnings at $3.70 EPS and FY2026 earnings at $15.09 EPS.

Several other equities research analysts also recently weighed in on the company. Guggenheim reissued a “neutral” rating on shares of Microsoft in a report on Friday, January 24th. Oppenheimer downgraded Microsoft from an “outperform” rating to a “market perform” rating in a research note on Tuesday, October 8th. Loop Capital boosted their price objective on Microsoft from $500.00 to $550.00 and gave the company a “buy” rating in a research note on Monday, December 23rd. Morgan Stanley dropped their price target on Microsoft from $540.00 to $530.00 and set an “overweight” rating on the stock in a research note on Thursday, January 30th. Finally, BMO Capital Markets lowered their price objective on Microsoft from $500.00 to $495.00 and set an “outperform” rating for the company in a research note on Thursday, October 31st. Three equities research analysts have rated the stock with a hold rating and twenty-seven have given a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $510.96.

Microsoft Trading Down 1.0 %

Shares of MSFT opened at $410.92 on Monday. The company has a debt-to-equity ratio of 0.13, a quick ratio of 1.34 and a current ratio of 1.35. Microsoft has a 52-week low of $385.58 and a 52-week high of $468.35. The firm has a market cap of $3.05 trillion, a price-to-earnings ratio of 33.09, a PEG ratio of 2.21 and a beta of 0.90. The business’s fifty day moving average is $432.53 and its 200-day moving average is $424.44.

Microsoft (NASDAQ:MSFT) last posted its quarterly earnings data on Wednesday, January 29th. The software giant reported $3.23 EPS for the quarter, topping analysts’ consensus estimates of $3.15 by $0.08. Microsoft had a return on equity of 33.36% and a net margin of 35.43%. During the same quarter last year, the firm posted $2.93 EPS.

Institutional Trading of Microsoft

Several large investors have recently bought and sold shares of MSFT. Fiduciary Advisors Inc. bought a new stake in shares of Microsoft in the 4th quarter worth approximately $38,000. Christopher J. Hasenberg Inc raised its holdings in Microsoft by 35.7% in the 3rd quarter. Christopher J. Hasenberg Inc now owns 95 shares of the software giant’s stock worth $39,000 after acquiring an additional 25 shares during the last quarter. IFS Advisors LLC raised its holdings in Microsoft by 53.8% in the 4th quarter. IFS Advisors LLC now owns 100 shares of the software giant’s stock worth $42,000 after acquiring an additional 35 shares during the last quarter. Quarry LP purchased a new stake in Microsoft during the 2nd quarter valued at $45,000. Finally, Avondale Wealth Management raised its stake in Microsoft by 144.4% during the 4th quarter. Avondale Wealth Management now owns 110 shares of the software giant’s stock valued at $46,000 after buying an additional 65 shares during the last quarter. 71.13% of the stock is owned by institutional investors.

Insider Activity at Microsoft

In other news, EVP Judson Althoff sold 25,000 shares of Microsoft stock in a transaction dated Friday, November 22nd. The stock was sold at an average price of $417.00, for a total value of $10,425,000.00. Following the transaction, the executive vice president now owns 117,294 shares in the company, valued at approximately $48,911,598. The trade was a 17.57 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Christopher David Young sold 7,200 shares of Microsoft stock in a transaction dated Tuesday, November 12th. The stock was sold at an average price of $423.66, for a total value of $3,050,352.00. Following the completion of the transaction, the executive vice president now owns 103,366 shares in the company, valued at approximately $43,792,039.56. This represents a 6.51 % decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders sold 41,200 shares of company stock valued at $17,383,892. Company insiders own 0.03% of the company’s stock.

Microsoft Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, March 13th. Investors of record on Thursday, February 20th will be paid a dividend of $0.83 per share. This represents a $3.32 annualized dividend and a yield of 0.81%. The ex-dividend date of this dividend is Thursday, February 20th. Microsoft’s dividend payout ratio is 26.73%.

About Microsoft

Microsoft Corporation develops and supports software, services, devices and solutions worldwide. The Productivity and Business Processes segment offers office, exchange, SharePoint, Microsoft Teams, office 365 Security and Compliance, Microsoft viva, and Microsoft 365 copilot; and office consumer services, such as Microsoft 365 consumer subscriptions, Office licensed on-premises, and other office services.