MTUM, AVGO, AMD, CRM: Large Outflows Detected at ETF

Significant Changes in Shares Outstanding

Upon reviewing the week-over-week shares outstanding alterations among various ETFs, one particular standout is the iShares MSCI USA Momentum Factor ETF (Symbol: MTUM). An approximate outflow of $47.2 million has been detected, equating to a 0.5% reduction from 54,300,000 to 54,050,000 shares. Among the primary underlying components of MTUM, notable movements have been observed with Broadcom Inc (Symbol: AVGO) rising by 0.6%, Advanced Micro Devices Inc (Symbol: AMD) increasing by 3.3%, and Salesforce Inc (Symbol: CRM) declining by 2.7%.

Price Performance and Technical Analysis

Charting the one-year price performance of MTUM against its 200-day moving average reveals interesting patterns. The 52-week range for MTUM spans from a low of $134.915 per share to a high of $191.49 per share. Presently trading at $190.06, the comparison between the current share price and the 200-day moving average can provide valuable insights for technical analysts.

iShares MSCI USA Momentum Factor ETF 200 Day Moving Average Chart

Understanding ETFs and Market Dynamics

ETFs, although operating akin to traditional stocks, involve transactions in ”units” rather than conventional ”shares”. These ”units” mirror stocks in terms of tradability but can also be originated or eliminated based on investor requirements. Weekly monitoring of alterations in shares outstanding is crucial in identifying ETFs encountering significant inflows (resulting in the creation of new units) or outflows (leading to the destruction of existing units). The creation of new units necessitates the procurement of underlying holdings, while the destruction of units involves divesting underlying assets, thereby impacting the individual components enclosed in the ETFs.

Click here to discover which other 9 ETFs witnessed notable outflows »

Microsoft (MSFT) has done it again, dazzling investors with a stellar fourth-quarter fiscal 2024 performance that crushes all doubts. Emerging victorious, Microsoft reported earnings of $2.95 per share, a formidable 1.72% beat over expectations, showcasing a robust 9.7% improvement year over year. Revenues soared to $64.7 billion, marking a 15.2% annual surge, and exceeding the Zacks Consensus Estimate by 0.84%. Dive deeper, and you'll find earnings spike further; at constant currency, they gloriously hiked by 11% year over year.

Commercial Triumph Amidst Sky-High Expectations

Commercial bookings painted a picture of triumph, surging 17% year over year (and 19% at cc), stampeding past expectations. The growth was fuelled by an uptick in mega-contracts worth $10 million and $100 million each, revolving around both Azure and Microsoft 365, all while maintaining stellar performance in core annuity sales motions.

The Cloud Unleashed: Azure's Ascension

Microsoft's Cloud revenues manifested at $36.8 billion, a whopping 21% ascent year over year (up 22% at cc). Azure is akin to a formidable dragon on a gold hoard, lifting the company's overall performance and overshadowing previous expectations.

Segmental Showdown: Numbers That Tell a Tale

The Productivity & Business Processes segment emerged as a formidable force, with revenues soaring 11% (up 12% at cc) year over year, led by Office commercial products and cloud services that witnessed a 12% growth rate. Teams Premium saw a meteoric rise with a nearly 400% surge in seats, a testament to the allure of advanced features.

Meanwhile, the Intelligent Cloud segment carved its path to glory, contributing 44.1% to total revenues with a 19% annual boost. Azure and other cloud services revenue scaled a remarkable 29% growth, including an 8-point surge from AI services — demand that outstrips available capacity.

Lastly, the More Personal Computing segment showcased resilience, raking in a 14% year-over-year revenue increase to $15.9 billion. This rise included a net impact from the Activision acquisition, demonstrating Microsoft's strategic agility in adapting to evolving market trends.

Azure's Triumph at the Heart of the Storm

Azure has asserted its dominance in the cloud domain, spearheading Microsoft's remarkable saga of success. The company's fourth-quarter earnings soar high on the wings of Azure's triumph, painting a vivid picture of victory in the fiercely competitive cloud landscape. Investors are left in awe of Microsoft's relentless pursuit of excellence, as Azure reigns supreme in the clouds amidst a storm of competition, firmly establishing its reign as the Cloud King.

Microsoft's AI Triumph Unveiled in Fiscal Q4 Financials Microsoft's AI Triumph Unveiled in Fiscal Q4 Financials