The good news for employees at tech giant Microsoft (MSFT) is that there may be an alternative to the recently-issued return-to-office (RTO) policy. The bad news is that the alternative may be that you no longer work there at all. Another 42 Microsoft employees will never have the chance to complain about the RTO mandate, as they have just been shown the door. Shareholders took the news better than they did, and when it is actively working on all manner of tools that allow remote work to happen. But that is just what it is doing, and shareholders seem oddly, if quietly, pleased. Shares ticked up fractionally in Wednesday afternoon’s trading.
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Microsoft has already been through its headcount roster with a chainsaw, taking out 15,000 employees since May. This layoff is a lot more targeted, though, seeing only 42 employees out the door. Perhaps more notably was the reason, or lack thereof, behind the loss of these 42 workers.
Microsoft reps noted, “Organizational and workforce changes are a necessary and regular part of managing our business. We will continue to prioritize and invest in strategic growth areas for our future and in support of our customers and partners.” It was unclear how the firing of these 42 workers contributed to strategic growth areas, or represented resources in non-strategic, non-growth areas. But one thing was clear: it was just another set of layoffs, albeit a smaller set, in a company that has been laying off people at a dizzying pace.
Indie Selects Demo Fest Begins
On a lighter note from Microsoft, it is planning the launch of the Indie Selects Demo Fest, part of the ID@Xbox program that helps bring independent gaming to Microsoft’s operations. Microsoft has spent a combined total of $5 billion in indie gaming development support, so you know how seriously it takes this field.
And with the arrival of the Indie Selects Demo Fest, we get access to a range of free demo games from now until September 30. Clear your calendars, and check out a range of options starting with the latest installment of the party game classic series, The Jackbox Party Pack 11. From there, check out surgical deathloop game Dead Reset, the oddly on-the-nose Military Logistics Simulator, and golf course builder Under Par: Golf Architect.
Is Microsoft a Buy, Hold or Sell?
Turning to Wall Street, analysts have a Strong Buy consensus rating on MSFT stock based on 33 Buys and one Hold assigned in the past three months, as indicated by the graphic below. After a 17.82% rally in its share price over the past year, the average MSFT price target of $626.88 per share implies 25.43% upside potential.
