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Microsoft (MSFT -0.9%) edges lower after Morgan Stanley downgrades shares to Equal-weight. "Win...

Microsoft (MSFT -0.9%) edges lower after Morgan Stanley downgrades shares to Equal-weight. "Win 8 is disappointing, the PC market will remain weak for awhile and margins are likely capped. As such, the stock is likely range-bound," the firm argues, while adding the fact 60% of businesses are now on Win. 7 will hurt corporate PC sales. However, it grants the PC issues may be priced in at 8x EPS. Yesterday, BGC forecast a 6% Y/Y drop in Q4 PC sales, but argued Microsoft still has much going for it in its enterprise ops. (Argus)
Comments (8)
  • User 509088
    , contributor
    Comments (934) | Send Message
     
    let's get that windoze office ipad app for .99 out the door, ladies and gents.
    10 Jan 2013, 11:49 AM Reply Like
  • alphaRAJU
    , contributor
    Comments (417) | Send Message
     
    How about $6.95 per month. That's the going rate.
    10 Jan 2013, 12:40 PM Reply Like
  • MexCom
    , contributor
    Comments (3050) | Send Message
     
    Nothing new here. "Windows 8 disappointment." Why is DoD going to use it? Morgan Stanley doesn't have a clue. Has anyone there ever used it?
    10 Jan 2013, 03:25 PM Reply Like
  • bobdark
    , contributor
    Comments (184) | Send Message
     
    DoD obtained the rights to Windows 8 as part of a 600 million dollar agreement that includes a lot of other server and client software and support including continuation of Windows 7 support. Just because Win 8 is in the package does not mean it will be deployed. Windows 8 will most likely be skipped just like Vista was for most government software upgrades. The learning curve/deployment costs are too high to make it worthwhile.
    11 Jan 2013, 02:36 AM Reply Like
  • Bob Johnson
    , contributor
    Comments (3039) | Send Message
     
    Morgan Stanley? Aren't they going out of business?
    10 Jan 2013, 05:09 PM Reply Like
  • june1234
    , contributor
    Comments (2499) | Send Message
     
    According to MS they've sold 60 million windows 8 licenses on track to match windows 7 numbers we'll see what their tablets and phones do. we know Lumia despite supply issued did pretty well at NOK.Morgan Stanley needs cash, probably buying MS after they downgraded it
    10 Jan 2013, 07:47 PM Reply Like
  • yumy87
    , contributor
    Comments (209) | Send Message
     
    Microsoft did not hit a one year low technically. It is near a 1 year low but did not hit it...
    11 Jan 2013, 12:55 AM Reply Like
  • Eureka71
    , contributor
    Comments (4) | Send Message
     
    MSFT
    S : strong cash position, talent pool, strangle hold on office products, pc OS market. Good positions in enterprise server, and games with kinect. Good patent portfolio.

     

    W : negligible market share in fast growing tablet/ smartphone space, and apps availability on windows 8 Eco system. Bing's weak marketshare compared to google in search. Win 8 not yet registering the pull factor iOS/Andriod has. No per user based revenue stream (like apple) after the phone is bought.

     

    O : Ramp up WoA to stay relevant in tablet markets, establish partnerships with mobile companies to win market share. Bring ing out new features with better quality, like gesture / face recognition, quality speech recognition, augmented reality, make Skype compete with FaceTime, along with NFC support and digital wallet support. More potential for game innovations.

     

    T : Google docs eating into ms office's market share and profits especially enterprises. Surface series not keeping up with tablet evolution. Windows 8 needing cool features to justify its presence compared to free android. Retain enterprise server market share.

     

    On the whole a mixed bag, but opportunities exist, if the company can focus on new innovations along with good execution. In addition stock is close to the trendline multi year support of 24.30, with low forward p/e.
    11 Jan 2013, 06:33 AM Reply Like
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