Microsoft Stock Surges Up 7%; Ballmer $769 Million Richer

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Microsoft stock is surging on the announcement that CEO Steve Ballmer will be retiring.  Some of this is of course due to sentiment analysis and also due to the dive the stock took after last quarter’s earning results. I wouldn’t read too much into this, the stock can quickly go down as it has gone up.  If some investors had their way, Microsoft would sell off Bing and Xbox.  AllThingsD reports

According to Microsoft’s latest proxy, Ballmer owns 333,252,990 shares of the company. At yesterday’s closing price of $32.39, they were worth approximately $10.794 billion. But this morning, after Ballmer disclosed his retirement plans, Microsoft’s share price rose some seven percent, pushing the value of Ballmer’s stake to $11.563 billion, and making him $769 million in the process.

Source: AllThingsD

Steve Ballmer Bill Gates



About Author

Suril is a scientist, journalist and obsessive Microsoft observer. He holds an advanced degree in Biotechnology with minors in Biochemistry, Microbiology, and Molecular Biology. Send him tips on twitter: http://www.twitter.com/surilamin

  • observer2121

    Selling Bing and Xbox would be the stupidest thing ever. Innovations like Kinect will spread across into other business segments. Mixing the kinext with the PC is the only way we are going to get to Minority Report type computer interfacing.

    • kalval

      I agree. With all the integration of bing into windows 8.1, and the integration of xbox music and video, and the tying together of xbox and the windows ecosystem, this would be a disaster for consumers that bought into the ecosystem. It would also be a bad long term move from MS, after they’ve sunk so much money into these platforms to develop and improve and integrate them they are just starting to reap the rewards.
      It would also be bad for xbox and bing. Microsoft has the cash to continue improving these products even if they don’t make a profit due to tough competition from google. Microsoft won’t let them fail because they are an important part of the ecosystem, I’m not sure what would happen to them if they were sold off.
      Stupid short-sighted investors just want to make a quick profit at the expense of long-term stability and profit. It was the long term investors who received smaller dividends for several years while Microsoft diverted money into xbox and bing to develop and grow them as products until Microsoft started making good returns on them. And now short term investors come in and start demanding they sell them to make instant massive profits before they sell their shares and run. They have no long term interests in the company.

    • Guest

      Hard to afford money losing or barely profitable businesses when your cash cows are in decline.

  • arrow2010

    Time to sell off Surface, Bing, XBox and concentrate on Office/Azure money makers. Gotta count those beans!

    • FateStayNight

      That would be an Icahn tactic which leaves the company profitable in the short term but eventually signing it’s death warrant for the future. Where he sells it for parts. Your liver might not be the most glamorous or pretty component of your body but you still need it to survive. and since it is doing its work on the back end, you skin glows, your hair shines, and your eyes sparkle.

      • Bugbog

        Short-term profit, long-term ruin!

        Why would a financially stable (and profitable) company like Microsoft sell off money makers or up & comers?

        Microsoft, despite all it’s faults, does tend to have the ability to grow its businesses (once consolidated into a business group) into Billion dollar entities!

        Anyone advocating such a direction is just STOOOPID!!! :)

    • Qurk

      Xbox had been number one for 30 something months straight , Microsoft has lots of patients and it pays off in the long run

    • Guest

      Still trolling, huh? You wouldn’t get anything to sell off Surface today, not with a recent $900M write down. Bing and Xbox could be sold off. But then where’s future growth going to come from? Office makes lots of money but Azure likely isn’t even profitable. So unclear why you think those two form the platform of a MS second act?

  • NegLewis

    Microsoft makes money. Period.
    MS it’s a multi-core business. It’s build up like a tank.
    Selling any piece of their Armour will mean only one thing: Self Destruction in 3.2.1…

    People are sentimentally attached by those products. Business are fundamentally build on all MS services.
    MS IS NOT (will not be only) a device and Services Business. It’s core lays in the kernel. In the OS.

    Office it’s the fruit of their labor.
    XBox the same.

    What’s the point of a tree without their leafs, fruits, roots, branches?

    NO! MS must not sell, they must buy.

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