Microsoft Corporation (MSFT) shares opened three percent higher, with a 21 million share order hitting the tape early in the session. The company was also added to Goldman Sach’s “conviction buy” list, citing revenue drivers, cost controls, and a strong cash position.
Microsoft Corporation (NDAQ: MSFT) shares moved three percent higher shortly after trading began, with a 21 million share order hitting the tape early in the session. This is unusual in that the transaction size is more than a third of its average daily trading volume. However, a tech rally on “quadruple witching” day can produce volatile trading at times.
Quadruple witching is an event that happens on the third Friday of the third month every quarter, whereby stock index future, stock index options, stock futures, and stock options all expire on the same day. Meanwhile, the tech sector rallied on Apple Inc.’s (NDAQ: AAPL) first day of sales for its newest iPhone and strong results at Research-in-Motion (NDAQ: RIMM).
Goldman Sachs also added Microsoft to its “conviction buy” list, citing revenue drivers, cost controls, and a continued strong cash position. Of course, the tech giant is preparing to launch its newest operating system, Windows 7, which promises to be much simpler and more efficient that past versions of the Windows operating system.
In the end, the tech rally and catalyst for Microsoft specifically will likely send shares higher today. Meanwhile, the launch of its latest operating system, various cost controls in place, and a strong cash position will likely help is succeed going forward into the future.