Microsoft Corporation (MSFT) Has Lost its MoJo

“We are working hard to deliver compelling new devices and high value experiences from Microsoft Corporation (NASDAQ:MSFT) and our partners in the coming months, including new Windows 8.1 tablets and PCs,” CEO Steven Ballmer said in a statement. “Our new products and the strategic realignment we announced last week position us well for long-term success, as we focus our energy and resources on creating a family of devices and services for individuals and businesses that empower people around the globe at home, at work and on the go, for the activities they value the most.”

Analysts from Raymond James Financial and Cowen Group mostly disagree and cut shares to Perform from Outperform. Meanwhile, Goldman Sachs Group, Inc. (NYSE:GS) reiterated its Sell rating on shares and slashed the price target to $28 from $30. Goldman analysts caution shares could dip further.

Foolish final thoughts

Potential investors ought to remain patient. While the company stands to benefit from sales of its soon to be released and highly anticipated Xbox One, reduced prices of its Surface tablets, and a push to upgrade to Windows 8, may eventually help the business.

“While enterprise PC demand trends remain relatively stable in their view, Microsoft Corporation (NASDAQ:MSFT)’s take on the OEM market for September calls for another quarter of yoy declines similar to what was experienced in June . . .” Goldman wrote.

Mr. Softy’s shares are apt to stay soft for the foreseeable future.

Diane Alter has no position in any stocks mentioned. The Motley Fool owns shares of Microsoft Corporation (NASDAQ:MSFT).

The article Microsoft Has Lost its MoJo originally appeared on Fool.com.

Diane is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

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