Usman Shah
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Good Bye Microsoft??

Microsoft's Nasdaq:MSFT stock fell more than 11% last week following a weak fourth quarter earnings. Microsoft is no way near the competition in the cellphone and tablet market, they are having issues with windows 8, now to top it all off within the last year Microsoft announced the departure of Steven Sinofsky, the head of Windows development, and Kurt DelBene, who headed-up the development of the Office suite. This may not seem like a big deal because management is changed in big companies however in Microsoft's case it different. 

For years, Microsoft's three big cash cows are Microsoft Business Division, Windows and Windows Live and Server and Tools. These three heavy weights have collectively brought in 83% of Microsoft's revenue and 159% of Microsoft's operating income with a change in management Microsoft puts  60% of the company's revenues - and 125% of the company's operating income - under new leadership. This is risky because if the new management fails Microsoft 11% fall last week would be nothing compare to the fall after the failure. What do you think? Microsoft Long or Short?