Microsoft CFO Sells Shares

Transaction follows 2 made by Bill Gates

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Aug 10, 2016
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Microsoft (MSFT, Financial) Executive Vice President and Chief Financial Officer Amy Hood sold 120,000 shares of Microsoft for an average price of $57.86 per share on Aug. 8. Hood now holds 523,425 shares.

Microsoft is a technology company involved in designing, manufacturing, licensing and supporting software and products. It was founded in 1975 by Bill Gates (Trades, Portfolio). Some of its products include the Windows operating system, Microsoft Office and Xbox game consoles.

The company has a market cap of $451.5 billion, with an enterprise value of $381.9 billion. It has a price-earnings (P/E) ratio of 28.3 with a forward P/E of 19.8. Its price-book (P/B) ratio is 6.35 and its price-sales (P/S) ratio is 5.51. GuruFocus ranked its financial strength 6 of 10 and its profitability and growth 7 of 10.

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Microsoft has an operating margin of 23.6% and a net margin of 19.3%. Its Piotroski F-Score is 5, indicating a stable financial standing while its Altman Z-Score is 3.48, placing it in the safe zone.

Two other insiders sold shares toward the end of July. Bill Gates (Trades, Portfolio), director, sold shares in two transactions, one of 2.5 million shares on July 21 and the other, 5.5 million shares on July 25. The third sale was made by Mason Morfit on July 28.

Gurus invested in Microsoft include T Rowe Price Equity Income Fund, Steven Romick (Trades, Portfolio), the Yacktman Fund (Trades, Portfolio), Spiros Segalas (Trades, Portfolio) and PRIMECAP Management (Trades, Portfolio), among others.

View Hood's filing with the SEC here.

Disclosure: I do not own stock in any companies mentioned in the article.

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