Microsoft Stock Is Sliding: What's Going On?

Comments
Loading...

Microsoft Corp MSFT shares are trading lower Wednesday following a downgrade from UBS.

What Happened: UBS analyst Karl Keirstead downgraded Microsoft from Buy to Neutral and lowered the price target from $300 to $250, citing a softening outlook for Microsoft Azure and Office.

Following a series of checks, Keirstead believes Microsoft Azure is entering a deceleration phase. The UBS analyst is concerned the growth slowdown may be organic rather than tied to headwinds from the macro landscape. Office 365 is also susceptible to a slowdown, the analyst added.

Kierstead also highlighted Microsoft's valuation, noting shares are trading with a "defensive premium." The stock is currently trading with a forward earnings multiple of approximately 25, according to Benzinga Pro

See Also: Starbucks To Rally 11%? Here Are 10 Other Analyst Forecasts For Wednesday

MSFT Price Action: Microsoft has a 52-week high of $326.07 and a 52-week low of $213.43.

The stock was down 4.24% at $229.42 at time of publication, according to Benzinga Pro.

Photo: courtesy of Microsoft.

MSFT Logo
MSFTMicrosoft Corp
$373.103.89%

Stock Score Locked: Want to See it?

Benzinga Rankings give you vital metrics on any stock – anytime.

Reveal Full Score
Edge Rankings
Momentum
38.03
Growth
64.65
Quality
31.92
Value
15.40
Price Trend
Short
Medium
Long
Market News and Data brought to you by Benzinga APIs
date
ticker
name
Price Target
Upside/Downside
Recommendation
Firm

Posted In: