Microsoft Sputters on Spending Concerns

SAN FRANCISCO -- Microsoft(MSFT Quote) kept its 2009 projections intact on Thursday, but investors ran for cover at the company's forecast for more spending.

Already trading at only 12 times forward earnings, shares dropped $2.11, or 7.7%, to $25.41 in recent trading.

With most of Microsoft's product launch cycle behind it, the stock is re-exploring territory it left behind in September 2006.

Analysts ratcheted down price targets Friday after the company said it would put more money into building its online business, which -- with or without Yahoo!(YHOO Quote) -- will include acquisitions. ...