B. Riley Financial Issues Positive Forecast for Strategy (NASDAQ:MSTR) Stock Price

Key Points

• B. Riley raised Strategy’s price target to $175 from $155 and maintained a “buy” rating, implying 23.43% upside from the cited price. Analysts’ consensus is a “Moderate Buy” rating with a $236.41 target.
• Strategy shares rose to $141.78, but the company reported a quarterly loss of $24.45 per share, far below the $2.19 loss analysts expected. Analysts project a full-year loss of $23.76 per share.
• Bitcoin exposure remains the central catalyst and risk: Strategy recently bought roughly $370 million of Bitcoin, while continued share issuance may dilute investors and the stock remains highly vulnerable to Bitcoin declines and market volatility.

Strategy (NASDAQ:MSTR - Get Free Report) had its target price raised by B. Riley Financial from $155.00 to $175.00 in a research report issued to clients and investors on Thursday, Benzinga reports. The brokerage presently has a "buy" rating on the software maker's stock. B. Riley Financial's price objective would indicate a potential upside of 23.43% from the company's current price.

Several other analysts also recently issued reports on the company. Sanford C. Bernstein reissued an "outperform" rating and set a $350.00 target price (down from $450.00) on shares of Strategy in a research note on Wednesday, August 26th. Cantor Fitzgerald lowered their target price on shares of Strategy from $212.00 to $186.00 and set an "overweight" rating on the stock in a report on Monday, August 3rd. UBS Group reaffirmed a "buy" rating on shares of Strategy in a research note on Friday, July 31st. B Riley reiterated a "buy" rating on shares of Strategy in a research report on Thursday. Finally, Alliance Global Partners started coverage on shares of Strategy in a research note on Tuesday. They set a "buy" rating and a $217.00 price target on the stock. One investment analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating, two have assigned a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $236.41.

Strategy Price Performance

Shares of MSTR traded up $18.59 during mid-day trading on Thursday, reaching $141.78. The stock had a trading volume of 27,663,879 shares, compared to its average volume of 21,582,570. The business has a fifty day moving average of $101.47 and a 200 day moving average of $128.17. The company has a debt-to-equity ratio of 0.22, a quick ratio of 5.39 and a current ratio of 5.39. The firm has a market cap of $54.48 billion, a price-to-earnings ratio of -1.46 and a beta of 3.59. Strategy has a 12 month low of $81.81 and a 12 month high of $365.21.

Strategy (NASDAQ:MSTR - Get Free Report) last released its earnings results on Friday, July 31st. The software maker reported ($24.45) earnings per share for the quarter, missing analysts' consensus estimates of ($2.19) by ($22.26). The firm had revenue of $122.37 million for the quarter, compared to analysts' expectations of $122.90 million. Strategy had a negative net margin of 6,102.95% and a negative return on equity of 74.18%. The firm's quarterly revenue was up 6.9% compared to the same quarter last year. During the same quarter last year, the firm posted $32.52 EPS. Equities analysts predict that Strategy will post -23.76 EPS for the current year.

Insider Activity

In other Strategy news, Director Jarrod M. Patten sold 2,775 shares of Strategy stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $125.33, for a total transaction of $347,790.75. Following the completion of the transaction, the director directly owned 28,406 shares of the company's stock, valued at $3,560,123.98. The trade was a 8.90% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CFO Andrew Kang sold 33,062 shares of the business's stock in a transaction on Friday, June 5th. The shares were sold at an average price of $118.73, for a total transaction of $3,925,451.26. Following the transaction, the chief financial officer owned 68,733 shares in the company, valued at $8,160,669.09. This trade represents a 32.48% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders have sold 148,575 shares of company stock valued at $17,639,821. 6.49% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Strategy

Several hedge funds have recently added to or reduced their stakes in the company. Federated Hermes Inc. bought a new stake in Strategy in the second quarter worth about $396,000. Cary Street Partners Financial LLC purchased a new stake in shares of Strategy in the second quarter worth approximately $202,000. Sei Investments Co. lifted its stake in shares of Strategy by 136.0% during the 2nd quarter. Sei Investments Co. now owns 39,905 shares of the software maker's stock worth $16,125,000 after acquiring an additional 22,999 shares during the last quarter. The Manufacturers Life Insurance Company lifted its stake in shares of Strategy by 59.4% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 19,215 shares of the software maker's stock worth $7,767,000 after acquiring an additional 7,158 shares during the last quarter. Finally, Peapack Gladstone Financial Corp boosted its holdings in Strategy by 22.0% during the 2nd quarter. Peapack Gladstone Financial Corp now owns 3,055 shares of the software maker's stock valued at $1,235,000 after acquiring an additional 550 shares during the period. 59.84% of the stock is currently owned by institutional investors.

Strategy News Roundup

Here are the key news stories impacting Strategy this week:

• Positive Sentiment: Bitcoin rally lifts crypto-treasury stocks: The iShares Bitcoin Trust ETF rose sharply while the broader market also advanced, creating a favorable backdrop for Strategy and other companies with large Bitcoin holdings. Crypto Treasury Stocks Rally as Bitcoin Fund Jumps 5%: Strategy Surges 14%, Bitmine Climbs 12%
• Positive Sentiment: Strategy resumed Bitcoin accumulation: The company purchased 4,603 Bitcoin for roughly $370 million after a 10-week pause, bringing its holdings to approximately 845,050 coins. The purchase was funded through share issuance, reinforcing Strategy’s core strategy while increasing its exposure to Bitcoin’s potential upside. Strategy (MSTR) Looks Cheap As Bitcoin Buying Resumes With 4,603 More Coins
• Positive Sentiment: Management highlighted financial flexibility: CEO Phong Le characterized the prior sale of 7,000 Bitcoin as a small transaction used to fund preferred dividends, while emphasizing the company’s cash reserves, reduced net debt and ability to remain a net Bitcoin buyer. Michael Saylor also said Strategy’s reserve capital ranks behind only Berkshire Hathaway among S&P 500 financial companies, bolstering the bullish narrative around its balance sheet. Michael Saylor Says Strategy Has More Reserve Capital Than Most S&P 500 Finance Companies
• Neutral Sentiment: MSCI index treatment remains an overhang: Strategy is urging MSCI to withdraw a proposal that could exclude digital-asset treasury companies from major indexes. Avoiding exclusion would protect potential institutional demand, but the proposal remains an unresolved risk. Strategy Calls MSCI Index Proposal Discriminatory
• Negative Sentiment: Valuation and dilution risks persist: Continued Bitcoin purchases rely partly on issuing shares, which can dilute existing holders. Strategy’s earnings remain deeply negative, and its stock’s high volatility leaves it vulnerable to any Bitcoin pullback, higher interest rates or renewed concerns about its financing model.

Strategy Company Profile

Strategy, formerly known as MicroStrategy, Incorporated NASDAQ: MSTR is a global provider of enterprise analytics and mobility software. The company’s flagship platform offers business intelligence, data discovery, and advanced visualizations that enable organizations to analyze large volumes of data and deliver actionable insights. In addition to traditional on-premises deployments, Strategy provides a range of cloud-based services and managed offerings that allow customers to leverage the power of its analytics tools without managing complex infrastructure.

Founded in 1989 by Michael J.

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