A little more than three years after ValueAct Capital CEO Jeffrey Ubben disclosed the fund’s massive $2 billion stake in Microsoft CorporationMSFT 0.14%, the stock has nearly doubled in price.

The day before Ubben discussed the position at an investor conferencein April of 2013, Microsoft’s stock closed at $29.77.

Last week, Microsoft reached as high as $58.14, a 95.2 percent gain.

The trade has been a winner from ValueAct since the beginning, and the stock has never dipped below $30 since the fund’s position was first reported. Microsoft’s 95 percent gain has dwarfed the 39.6 percent gain of the S&P 500 over the same period.

After an initial surge to $47, Microsoft was range-bound between $47 and $38 from November 2014 to October 2015. The stock then broke out to a new trading range between $47 and $56. Microsoft stayed within that range from October 2015 until a breakout last month that carried it to $58.

Despite the huge gains, ValueAct isn’t quite satisfied…

Click here to continue reading

Want to learn more about how to profit off the stock market? Or maybe you just want to be able to look sophisticated in front of your coworkers when they ask you what you are reading on your Kindle, and you’d prefer to tell them “Oh, I’m just reading a book about stock market analysis,” rather than the usual “Oh, I’m just looking at pics of my ex-girlfriend on Facebook.” For these reasons and more, check out my book, Beating Wall Street with Common Sense. I don’t have a degree in finance; I have a degree in neuroscience. You don’t have to predict what stocks will do if you can predict what traders will do and be one step ahead of them. I made a 400% return in the stock market over five years using only basic principles of psychology and common sense. Beating Wall Street with Common Sense is now available on Amazon, and tradingcommonsense.com is always available on your local internet!