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Microsoft shares drop to 11-year low

Firm won't be making further cuts...
Microsoft saw its share price fall to an eleven-year low on Tuesday following a dissatisfying address at an analysts' meeting in New York by company CEO Steve Ballmer.

Ballmer spoke of how Microsoft can benefit from the rise of cheap netbooks, but made little suggestion that the company is going to cut more costs to save money.

In fact, Ballmer openly rejected the idea, stating that "I don't think it makes sense for us to come back and say, 'Could we take out another $2 billion in costs?'"

Microsoft confirmed back in January that it was going to cut 5,000 jobs over 18 months in a bid to save itself over $2 billion, but many analysts feel the cuts are too slender, and expected Ballmer to announce more cost saving measures.

Following the investors' meeting, Microsoft shares fell over 3 percent, down to $16.36. The shares are currently at $17.14 at the time of going to press.

Article supplied by Edge-Online

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Posted by AJB123644
Now is the time to invest people, invest! Haha.

I would consider Microsoft as Windows 7 being released will inevitably bump up their shares but their 52 week high was nothing compared to the 52 week high of EA which has their shares about the same as Microsoft's.
Posted by bunneyo
its the 5000 jobs be lost that sadens me
Posted by flemonmaster
Of course the shares are going down, they're hardly going to go up in a recession of this magnitude are they?
Posted by The_KFD_Case
Those were my precise thoughts earlier this afternoon. I'm tempted to do so even if the stock may still drop I do expect it to recover and make gains in the long term. Especially once Windows 7 is released. Granted, that could face an uphill battle like Vista did, yet since it seems to be described as "Vista done right" this time, uses less resources and requires less powerful hardware I expect Windows 7 to out perform Vista in terms of sale. Hmm. The more I think about it the better the investment idea seems...
Posted by nologo
release a good OS and make ppl happy..
= $$$
Posted by GooeyMoo
@ nologo

A good OS = XP

I'm going to keep using it until they stop supporting it. =]
Posted by The_KFD_Case
I'm fairly positively inclined towards Windows 7, yet the same was true of Vista upon initially reading about it. I'm glad I didn't "upgrade" to Vista and stuck with XP. I'm willing to buy Windows 7 if they don't take the mickey with the pricing (which they probably will,) and upon seeing numerous reviews and customer feedback after the first couple of months. I don't plan on being one of the early adopters.
Posted by Black Mantis
I'm actually enjoying Vista. Granted, I haven't started to use my music production software yet...
Read all 8 commentsPost a Comment
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