Investors: What will Microsoft do cash mountain?
Reuters | at | by Mike
Investors are expected to be as interested in hints from Microsoft about plans for its $40.5 billion cash mountain as they are about this week's quarterly earnings report which is expected to show record sales. Revenues at the world's largest software maker are expected to swell as much as 11 percent from a year earlier to between $8.5 billion and $8.6 billion, a new high, meaning the Redmond, Washington-based company's cash balance is likely to grow further.
Investors will be looking for signals about how much more cash Microsoft will set aside to hedge against its ongoing legal battles, analysts said. A lower legal risk could allow Microsoft to be freer with its cash -- and perhaps even pay dividends.