Market Overview

UPDATE: Microsoft Downgraded at Bank of America on Lack of Momentum

UPDATE: Microsoft Downgraded at Bank of America on Lack of Momentum
Related MSFT
Here's How A Company's Facebook Page Can Beat The Market
Democratic Donors Are Beating The S&P (And Republicans); Take A Look At This Motif
Apple: Mac Sales Delivered Increased Market Share But Still Posted Negative Growth (Seeking Alpha)

In a report published by Bank of America, analyst Kash Ragan downgraded Microsoft (NASDAQ: MSFT) from Buy to Neutral and lowered the price objective from $35 to $33.

In the report, Bank of America noted, "Our Buy thesis was predicated on an aggressive $40bn share buyback program and the Win 7 product cycle. We were hoping that MSFT would make a bold foray with Win 8 into smartphones and tablets. Conventional product cycle wisdom dictates that the stock should peak before a Win launch (it hit $31.45 in Sept '12 before Win 8), but we remained optimistic because the limited availability of touch-based devices impaired an objective assessment of Win 8. Now, six months post launch, despite more available touch-based devices, Win 8 lacks momentum, challenging our optimism."

Bank of America held a Buy rating on Microsoft since September 2008. Shares of Microsoft closed Wednesday at $28.56.

Latest Ratings for MSFT

Oct 2015Bank of AmericaUpgradesUnderperformNeutral
Aug 2015Stifel NicolausUpgradesHoldBuy
Jul 2015CitigroupMaintainsSell

View More Analyst Ratings for MSFT
View the Latest Analyst Ratings

Posted-In: Bank of AmericaAnalyst Color Downgrades Analyst Ratings Best of Benzinga


Related Articles (MSFT)

View Comments and Join the Discussion!

Get Benzinga's Newsletters