Daviman Financial LLC Takes Position in Strategy Inc $MSTR

Key Points

• Daviman Financial LLC disclosed a new fourth-quarter stake in Strategy Inc., buying 6,668 shares worth about $1.01 million.
• Strategy’s latest quarterly results showed a much larger-than-expected loss, with EPS of -$38.25 versus a forecast of -$0.86, even as revenue rose 11.9% year over year to $124.3 million.
• Wall Street remains broadly constructive on MSTR, with a Moderate Buy consensus and average price target of $322.21, though recent insider selling and mixed Bitcoin-related headlines have added caution.

Daviman Financial LLC purchased a new stake in shares of Strategy Inc (NASDAQ:MSTR - Free Report) during the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor purchased 6,668 shares of the software maker's stock, valued at approximately $1,013,000.

Other institutional investors have also recently made changes to their positions in the company. Dogwood Wealth Management LLC lifted its position in shares of Strategy by 280.0% during the 4th quarter. Dogwood Wealth Management LLC now owns 190 shares of the software maker's stock valued at $29,000 after buying an additional 140 shares during the last quarter. Pilgrim Partners Asia Pte Ltd purchased a new stake in Strategy during the 3rd quarter worth about $32,000. Binnacle Investments Inc lifted its holdings in Strategy by 492.9% during the 2nd quarter. Binnacle Investments Inc now owns 83 shares of the software maker's stock worth $34,000 after purchasing an additional 69 shares in the last quarter. City State Bank lifted its holdings in Strategy by 354.5% during the 4th quarter. City State Bank now owns 250 shares of the software maker's stock worth $38,000 after purchasing an additional 195 shares in the last quarter. Finally, Cheviot Value Management LLC purchased a new stake in Strategy during the 3rd quarter worth about $39,000. Hedge funds and other institutional investors own 59.84% of the company's stock.

Strategy Stock Performance

NASDAQ:MSTR opened at $159.89 on Friday. The business's 50-day moving average price is $152.77 and its two-hundred day moving average price is $160.66. Strategy Inc has a twelve month low of $104.17 and a twelve month high of $457.22. The stock has a market cap of $56.03 billion, a P/E ratio of -3.98 and a beta of 3.59. The company has a quick ratio of 6.05, a current ratio of 6.05 and a debt-to-equity ratio of 0.22.

Strategy (NASDAQ:MSTR - Get Free Report) last released its quarterly earnings results on Tuesday, May 5th. The software maker reported ($38.25) earnings per share for the quarter, missing the consensus estimate of ($0.86) by ($37.39). Strategy had a negative net margin of 2,482.01% and a negative return on equity of 26.97%. The business had revenue of $124.30 million during the quarter, compared to analysts' expectations of $120.75 million. During the same period in the previous year, the business earned ($16.49) EPS. The business's revenue was up 11.9% on a year-over-year basis. As a group, equities analysts predict that Strategy Inc will post 116.7 EPS for the current fiscal year.

Wall Street Analyst Weigh In

MSTR has been the topic of a number of recent research reports. Texas Capital raised Strategy to a "strong-buy" rating in a report on Thursday, March 19th. Mizuho set a $320.00 price objective on Strategy and gave the stock an "outperform" rating in a report on Tuesday, February 17th. BTIG Research reissued a "buy" rating and set a $350.00 price objective (up from $250.00) on shares of Strategy in a report on Wednesday, May 6th. HC Wainwright reaffirmed a "buy" rating on shares of Strategy in a report on Friday, February 6th. Finally, Weiss Ratings reaffirmed a "hold (c)" rating on shares of Strategy in a report on Friday, March 27th. One analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, Strategy presently has a consensus rating of "Moderate Buy" and a consensus price target of $322.21.

Key Headlines Impacting Strategy

Here are the key news stories impacting Strategy this week:

• Positive Sentiment: TD Cowen reiterated a Buy rating and lifted its price target on Strategy, citing continued Bitcoin accumulation and potential upside from the company’s BTC-focused model.
• Positive Sentiment: Reports that Strategy continued buying Bitcoin with capital raised from securities sales reinforce the core bull case that BTC holdings remain the main value driver for MSTR.
• Neutral Sentiment: Michael Saylor’s CNBC comments on tokenization and Strategy’s evolving capital-markets approach support the long-term Bitcoin thesis, but do not create an immediate operating catalyst.
• Negative Sentiment: Investor concern has increased after reports that Strategy may pause Bitcoin buying and could even sell some BTC to support capital-management moves or debt repurchases.
• Negative Sentiment: Zacks Research downgraded Strategy to Strong Sell, adding to bearish sentiment around the stock.
• Negative Sentiment: New insider selling, including CFO Andrew Kang’s stock sale and director Jarrod M. Patten’s disposals, is weighing on confidence in the shares.

Insider Activity

In other news, CFO Andrew Kang sold 5,597 shares of the stock in a transaction dated Tuesday, May 19th. The stock was sold at an average price of $165.78, for a total transaction of $927,870.66. Following the transaction, the chief financial officer directly owned 33,675 shares in the company, valued at approximately $5,582,641.50. This represents a 14.25% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Jarrod M. Patten sold 2,250 shares of the stock in a transaction dated Wednesday, May 20th. The shares were sold at an average price of $166.37, for a total value of $374,332.50. Following the transaction, the director owned 28,000 shares in the company, valued at $4,658,360. This trade represents a 7.44% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 41,549 shares of company stock worth $6,510,803. Insiders own 6.49% of the company's stock.

About Strategy

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.