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Microsoft names Satya Nadella as new CEO


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Partly because of Nadella’s insider status and the fact that both Gates and Ballmer will remain Microsoft’s largest shareholders and for now, company directors, analysts aren’t expecting a quick pivot in the strategy of making its own tablets and mobile devices.

Some hope, however, that he will make big changes that will help lift Microsoft stock, which has been stuck in the doldrums for more than a decade. Since Ballmer took office in Jan. 13, 2000, Microsoft shares are down a split-adjusted 32 percent, compared with a 20 percent gain in the S&P 500.

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"We do not want to see a continuation of the existing direction for the business, so it will be important that Mr. Nadella be free to make changes," Nomura analyst Rick Sherlund wrote in a note Friday.

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AP Business Writer Barbara Ortutay in New York contributed to this story.




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