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Fly News Breaks for May 5, 2016
RHT, MSFT
May 5, 2016 | 07:00 EDT
Deutsche Bank analyst Karl Keirstead attributes the 11% selloff in Microsoft (MSFT) shares since the company's Q3 earnings report to the deceleration in the "usually-steady" on-premise Server Product segment. While the analyst views Microsoft's macro pressures explanation as reasonable, he believes a secondary explanation for the weakness is that the company's Windows Server business is losing share to Linux and Red Hat (RHT). The analyst now models for a 1% decline in Server Product revenues in FY17. The deceleration in the Server Product business "puts a dent" in one key part of the Microsoft bull case, Keirstead tells investors in a research note. He still believes, however, that Microsoft is better positioned to manage the transition to the cloud and subscription model than its peers. The analyst keeps a Buy rating on Microsoft with a $65 price target. The stock closed yesterday up 9c to $49.87.
News For MSFT;RHT From the Last 2 Days
MSFT
Mar 18, 2024 | 08:40 EDT
VERSES AI (VRSSF) announces that Alex Kipman, CEO and Founder of Analog AI has joined as a Strategic Advisor. Kipman spent over two decades at Microsoft (MSFT), most recently in the role of Corporate Vice President/Technical Fellow, Mixed Reality and Artificial intelligence.