Microsoft is now one among the 3 companies in the US that have AAA rating from S&P. The AAA rating is awarded for those companies with the utmost financial strength and discipline in meeting all obligations. As Automatic Data Processing was stripped of AAA credit rating, Microsoft and two other U.S. companies is now holding the coveted AAA rating from S&P. The other two companies on this list are Johnson & Johnson and Exxon-Mobil. The number of companies with the top-credit rating has been dwindling for years. Back in 1980, there were more than 60 U.S. companies rated AAA by S&P. That fell to six in 2008. Since then, industrial company General Electric, drugmaker Pfizer and now ADP have been downgraded. Some companies find ways to pull themselves back into the top credit level. Food company Kellogg, was downgraded to AA+ on Dec. 12, 1984, but managed to work its way ...

Read More →

Microsoft’s stock reached its highest price of $39.90 per share since 2000 yesterday. Thanks to the news regarding Office for iPad release. Office for the iPad has been rumored for many years now, but it appears Microsoft is finally ready to unveil the product later this month.  According to reports, Microsoft CEO Satya Nadella will himself demo the product marking his first major public appearance since becoming CEO. Yesterday, Microsoft sent out press invites for an event in San Fransisco on March 27th and Microsoft is expected to unveil Office for iPad on that day. It seems investors are too excited about this news that Microsoft is releasing Office for iPad. Office is already generating significant revenue for Microsoft and investors hope that releasing Office on new platforms should further increase Microsoft’s revenue. Rick Sherlund of Nomura Equity Research has a “Buy” rating on MSFT stock and has set a ...

Read More →

One would have thought securing the distribution for your new smartphone operating system with the biggest smartphone OEM in the world, addressing one of the biggest concerns shareholders had about the company’s mobile strategy, would have had some impact on Microsoft’s (MSFT)  share price. If fact the opposite appear to be the case, with share price down from a peak over the new year, and down close to 1% on the announcement of the deal on the 11th. The reasons for this is somewhat hard to explain, but appear to center around lack of confidence in the ability of Microsoft to execute, despite recent successes like Kinect and the resurgent Xbox 360, which in US has been the only console to see growing sales in the last quarter, and the successful launch of Windows phone 7. This perception is widely prevalent in the media and amongst analysts, and likely based by being ...

Read More →