Morgan Stanley Sees 12% Upside In Microsoft - Read Why

Benzinga2021-09-14
  • Morgan Stanley analyst Keith Weiss has raised the price target on Microsoft Corp to $331 from $305, implying an 11.5% upside, and reiterated an Overweight.
  • Weiss sees the potential for a 10%-plus increase of the company's dividend. Historically Microsoft announces its annual dividend increases in mid-September.
  • Given the 32% year-over-year operating income growth seen in FY21, he "conservatively" estimates an increase in the company's quarterly dividend per share to $0.62 from $0.56, supports about a 20% total return profile for Microsoft when combined with the company's high-teens EPS growth, Weiss noted.
  • Price Action: MSFT shares traded higher by 0.60% at $298.76 in the premarket session on the last check Tuesday.
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