Microsoft Executives Begin Selling MSFT Stock, But Why?

Jaxon Gaines
Microsoft logo
Source: NBC News

Executives at Microsoft (MSFT) have begun making significant stock sales, raising millions from shares in the tech giant. In recent transactions, Judson Althoff, Executive Vice President at Microsoft, sold 16,000 shares at approximately $458 each, totaling an impressive $7.3 million. This move adjusted his holdings to 98,010 shares. Similarly, EVP Kathleen Hogan divested 21,500 shares priced at $454 each, accumulating $9.8 million, while still retaining 134,887 shares.

The stock sales from executives at Microsoft give valuable insight into the happenings at Microsoft. Investors look at these transactions as signals of which direction MSFT may be going next. Currently, the stock is riding a hot streak, up 17.5% in the past month. The recent growth erased a rough start for MSFT, as it is now up 10% YTD after being rocked by an uncertain economy amid tariff/recession threats.

Institutional investors currently hold the majority of Microsoft stock, with companies like Vanguard Group, BlackRock, and State Street among the largest shareholders. The recent insider sales represent only a small fraction of Microsoft’s massive $3.41 trillion market capitalization. Despite the insider selling, the Microsoft stock outlook remains mostly positive among analysts, with its AI initiatives and cloud services continuing to drive the bullish sentiment in the tech stocks sector.

With Microsoft stock currently trading at around $458 and a P/E ratio of about 35.1, opinions remain somewhat divided among experts. Some analysts are pointing to potential challenges in the company’s recent guidance and more.

Also Read: US Stock Rises 36% in a Month: It’s Not Nvidia, Microsoft, or Apple

Wall Street remains bullish on Microsoft (MSFT), as evidenced by one-year price targets from 49 analysts. The average target is set at $505.25, with forecasts ranging from a low of $423.00 to a high of $650.00. With Microsoft’s current stock price at $450.18, the average price target suggests a potential upside of 12.23%. Alternatively, CNN analysts suggest MSFT is most likely to perform neutral, in-line with market averages, over the next 12 months. They also suggest MSFT could hit a high of $650.00 in the next 12 months. Furthermore, 92% of the 63 analysts surveyed by the platform suggest buying Microsoft stock.