Sustainable Growth Advisers 13F: Cuts MSFT Stake by $43M

Sustainable Growth Advisers trimmed its stake in Microsoft Corporation (NasdaqGS: MSFT) during the quarter, according to a Form 13F institutional holdings report filed with the SEC on October 15, 2026. Because 13F filings look backward at portfolio positions from the close of the quarter, the filing may not reflect the investor's exact current stake today.

What Changed in Sustainable Growth Advisers's Microsoft Position

The firm sold off 84,701 shares of the software giant, reducing its total holdings by 5.6%. That brought the fund's position down to 1,420,302 shares, with a reported value of about $728.5 million at the time of the filing. Before the adjustment, the firm owned 1,505,003 shares.

Other Institutional Activity in Microsoft

Other major institutional investors made sizable adjustments to their Microsoft shares during the period. Blackrock Inc. grew its holdings by 14,061,346 shares, ending with 607,367,113 shares worth about $321.3 billion. Vanguard Capital Management LLC boosted its position by 2,653,959 shares to hold 485,192,007 shares valued at roughly $256.7 billion. State Street Corporation added 8,955,571 shares for a new total of 315,653,206 shares valued at about $167.0 billion. Geode Capital Management, LLC raised its stake by 1,131,007 shares to reach 189,632,090 shares worth approximately $100.3 billion. Meanwhile, FMR, LLC trimmed its holdings by 4,260,951 shares, leaving it with 185,960,066 shares valued at about $98.4 billion.

Microsoft Corporation Stock Down 1.4%

Microsoft shares recently traded around $526.01 as of October 16, 2026. The stock sits about 4.2% above its 50-day moving average of $504.95 and roughly 20.9% above its 200-day moving average of $435.04. The share price rests 5.0% below its 52-week high of $553.72 and 50.6% above its 52-week low of $349.20.

Recent Earnings

Microsoft reported trailing-twelve-month revenue of $331.8 billion alongside a trailing-twelve-month earnings per share of $17.95. The company posted a net profit margin of 40.3% and a return on equity of 34.0%, with year-over-year revenue growth coming in at 17.7%. The next earnings report is scheduled for October 28, 2026.

Dividend

The company pays an annual dividend yielding 0.73% with a payout ratio of 19.8%.

Insider Buying and Selling at Microsoft Corporation

Company insiders executed several stock transactions ahead of the filing. Chief Executive Officer Satya Nadella sold 86,525 shares on September 1, 2026, for a total value of about $43.4 million. Chief Financial Officer Amy E. Hood sold 41,674 shares on September 14, 2026, valued at approximately $20.8 million. Later, on October 13, 2026, Hood sold an additional 7,305 shares under a planned trading program for about $4.0 million, alongside another non-planned sale of 7,305 shares valued at roughly $4.0 million on the same day.

Analysts Set New Price Targets

Wall Street analysts updated their outlooks on Microsoft around the filing date. On October 15, 2026, UBS maintained its Buy rating while raising its price target to $675.00 from $525.00. Citigroup maintained a Buy rating and lifted its target to $636.00 from $600.00. Mizuho maintained an Outperform rating with a raised target of $600.00 up from $510.00. Jefferies kept a Buy rating and pushed its target to $650.00 from $575.00. TD Cowen maintained a Buy rating and increased its target to $625.00 from $540.00. Overall, the stock carries a consensus strong buy rating with an average price target of $596.22 across 53 analyst opinions.

About Microsoft

Microsoft Corporation develops operating systems, server applications, software development tools, business solutions, and video games, alongside hardware products like personal computers, tablets, and gaming consoles. Institutional adjustments like this one offer a window into how large managers balance their massive technology allocations ahead of upcoming corporate earnings.

Bottom Line

Investors will watch Microsoft's upcoming earnings release on October 28, 2026, for fresh updates on cloud demand and software growth. Because 13F reports reflect past holdings, market participants should look to subsequent filings for more recent portfolio updates. Keep in mind that 13F filings are backward-looking: they show holdings as of the end of the reporting quarter and may not represent the fund's current position.