Coatue Management Reduces $1.1B in Microsoft Corporation ($MSFT)

Coatue Management has significantly reduced its stake in Microsoft Corporation (NasdaqGS: MSFT). According to its latest Form 13F filing with the SEC, the firm cut its holdings by 2,691,959 shares, a 52% reduction, leaving it with 2,480,017 shares valued at approximately $968.9 million. The filing reflects Coatue's position as of the end of the reporting period and may not represent its current stance.

What Changed in Coatue Management's Microsoft Position

Coatue Management reduced its Microsoft holdings from 5,171,976 shares to 2,480,017 shares, a decrease of 2,691,959 shares or about 52%. The position is now valued at approximately $968.9 million, signaling a substantial reduction in its investment.

Other Institutional Activity in Microsoft

Several other institutional investors also adjusted their positions in Microsoft. BlackRock, Inc. trimmed its holdings by 8,568,924 shares, bringing its total to 593,328,571 shares worth about $219.6 billion. Vanguard Capital Management LLC made a significant move by acquiring 482,558,086 shares, valued at $178.6 billion. State Street Corp added 557,681 shares, ending with 306,708,289 shares valued at around $113.5 billion. Meanwhile, FMR LLC reduced its position by 10,737,378 shares, leaving it with 190,211,367 shares worth about $70.4 billion. Geode Capital Management, LLC increased its stake by 5,883,518 shares to a total of 188,501,918 shares valued at $69.6 billion.

Microsoft Stock Snapshot

Shares of Microsoft (NasdaqGS: MSFT) are trading near $390.67. The company boasts a market cap of approximately $2.9 trillion, with a P/E ratio of 23.3 and a forward P/E of 20.2. Microsoft's stock has a 52-week low of $356.28 and a high of $555.45, with a 50-day moving average of $411.37 and a 200-day moving average of $454.29. The company's beta is 1.103, indicating moderate volatility compared to the market.

Recent Earnings

Microsoft reported revenue of $318.3 billion, reflecting a growth rate of 18.3%. The company achieved a net margin of 39.3% and a return on equity of 34%. Microsoft's earnings per share (EPS) stood at $16.78. The next earnings report is expected on April 29, 2026.

Dividend

Microsoft pays an annual dividend rate of $3.64, yielding 0.93%. The dividend payout ratio is 20.7%, reflecting a conservative approach to dividend distribution.

Insider Buying and Selling at Microsoft Corporation

Recent insider activity at Microsoft includes several purchases on June 11, 2026. Notable insiders such as List Teri, Rainey John, Mason Mark, Hoffman Reid, Pritzker Penny, and Peterson Sandra collectively acquired shares, although the transaction details did not specify the price or total value.

Analysts Set New Price Targets

On June 1, 2026, Wells Fargo maintained its 'buy' rating on Microsoft with a price target of $650. On the same day, Citizens initiated coverage with a 'buy' rating and a $550 target. Other firms like Tigress Financial, Stifel, Bernstein, Citigroup, Evercore ISI Group, and Barclays have also maintained 'buy' ratings with targets ranging from $415 to $680. The consensus among 55 analysts is a 'strong buy' with a mean target price of $561.39.

About Microsoft Corporation

Microsoft Corporation, headquartered in Redmond, Washington, develops and supports software, services, devices, and solutions worldwide. Its segments include Productivity and Business Processes, Intelligent Cloud, and Personal Computing. The company offers products like Microsoft 365, Azure, Windows, Xbox, and LinkedIn. Led by CEO Satya Nadella, Microsoft employs 228,000 people and continues to innovate in areas like artificial intelligence and cloud computing.

Bottom Line

Coatue Management's substantial reduction in Microsoft shares is a noteworthy move among institutional investors, reflecting changes in portfolio strategy as of the reporting period. Investors keep a close eye on such filings for insights into institutional sentiment. However, these filings are backward-looking and may not represent current positions.