UPDATE: McAdams Wright Ragen Downgrades Microsoft Corporation to Hold, Reiterates $34 PT Following Q3 Results

In a report published Friday, McAdams Wright Ragen analyst Sid Parakh downgraded the rating on Microsoft Corporation MSFT from Buy to Hold, but reiterated the $34.00 price target. In the report, Parakh noted, “Enterprise stability provides balance in a weak PC market. Q3 results indicated continuing weakness in the consumer PC market while enterprise product sales showed stable growth. Separately, Microsoft's cloud-related efforts appear to be gathering momentum based on new information released by the company. Results showed further spending control. Revenues of $20.5 billion were in line with lowered consensus forecasts. Adjusted EPS were $0.79. Including $733 million in EU-related fines, EPS were $0.72. Gross margins and operating expenses showed better expense management.” Microsoft Corporation closed on Thursday at $31.94.