US Nasdaq stock alert

USA

CLOSING UPDATE: Microsoft up 2.0% in 2 days 12 January 2018 17:58 EST

NEWS BITES - NORTH AMERICA

This is an end of day Alert, produced after today's NASDAQ market close. It concludes the BSS News Bites intra-day Alert series (summaries below).

Microsoft, NASDAQ's largest computer software company by market capitalisation, extended its gains on Friday, rising an additional $US1.52 (or 1.7%) to trade at $US89.60. Trading volume was 1.1 times average at the end of the day. The shares have risen $US1.78 (or 2.0%) over the past two trading days vs. the NASDAQ-100 Index which has risen 1.4% in the same period.

Technical indicators complementing today's significant uptrend:

+ The positive 1.25 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

+ In the last one month the stock has hit a new 52-week high eight times and in the last three months fifteen times, pointing to a significant uptrend.

+ The price increased 1.6% in the last week and climbed 4.7% in the last month.

+ The present value of USD1,000 invested one year ago is $US1,496 [vs $US1,341 for the NASDAQ-100 Index].

Fundamental measures by comparison with the sector average [in brackets] indicate:

Undervaluation:

+ Price/Earnings of 32.7 [39.9]

+ Dividend yield of 1.8% [1.3%]

+ Return on Equity 29.3% [22.4%]

+ Return on Assets 8.8% [7.8%]

+ Year-on-Year Earnings Growth of 29.2% [23.2%]

Other Bullish Signals include:

+ The company is cash rich with Cash to Market Capitalisation at 37.4%.

+ Net profit margin has averaged 19.8% in the last 3 years. This is considered superior and suggests a high margin of safety.

+ The Brand Value represents 7.1% of the estimated Enterprise Value of $US643.4 billion.

+ As per the Du Pont analysis, Return on Equity is high at 29.3%. Also, this has improved from 23.3% last year.

Note

The stock has outperformed 75% of the NASDAQ market over the past 6 months.

Bearish Signals:

Tobin's Q Ratio is 2.9. Compared with the rest of the market the stock is overvalued and ranks in the bottom quartile of stocks by value of Q Ratio.

TODAY'S ALERTS

Afternoon Alert: Microsoft hits 52-week high eighth time in one month

12 January 2018 13:23 EST

Microsoft Corporation (NASDAQ:MSFT) hit a 52-week high of $US89.42 today for the eighth time in the past one month and last traded at $US89.31. This brought its two-day rise to $US1.50 or 1.7%. Trading volume was 1.1 times average so far today.

Morning Alert: Microsoft hits 52-week high eighth time in one month

12 January 2018 11:04 EST

Microsoft Corporation (NASDAQ:MSFT) hit a 52-week high of $US89.11 today for the eighth time in the past one month and last traded at $US89.08. This brought its two-day rise to $US1.26 or 1.4%.

RECENT ALERTS

CLOSING UPDATE: Microsoft increases further 0.1%, led Computer software sector higher

11 January 2018 17:58 EST

Microsoft, NASDAQ's largest computer software company by market capitalisation, has increased 0.3% to trade at $US88.08 vs. the Computer software sector which strengthened 21.0 points (or 0.4%) to 5,107.8. Representing a weighting of about 67.7% of the sector, the stock accounted for 48.9% of today's gain. Trading volume was 75% of average at the end of the day. Compared with the NASDAQ-100 Index which rose 45.8 points (or 0.7%) in the day, this represented a relative price change of -0.4%.

Afternoon Alert: Microsoft increases 0.2%, leads Computer software sector higher

11 January 2018 13:23 EST

Microsoft Corporation (NASDAQ:MSFT) has increased 0.2% to trade at $US87.99 vs. the Computer software sector which strengthened 14.7 points (or 0.3%) to 5,101.5. Representing a weighting of about 67.7% of the sector, the stock accounted for 45.2% of today's gain. Trading volume was 92% of average so far today.

Microsoft Corporation (O:MSFT)

ISIN: US5949181045

PermID: 4295907168

CIK: 789019

CUSIP: 594918104

Source: www.BuySellSignals.com