Strategy (NASDAQ:MSTR) Director Jarrod Patten Sells 2,775 Shares of Stock

Key Points

• Director Jarrod Patten sold 2,775 Strategy shares for approximately $347,791 at an average price of $125.33, reducing his holdings by 8.9% to 28,406 shares.
• Strategy shares recently traded near $123, while the company reported a sharp quarterly EPS loss of $24.45 versus the $2.19 expected. Revenue increased 6.9% year over year to $122.37 million.
• Institutional investors own nearly 60% of the company, and analysts maintain a consensus “Moderate Buy” rating with a $236.38 price target, despite several recent target-price cuts and ongoing risks tied to Bitcoin exposure and shareholder dilution.

Strategy Inc (NASDAQ:MSTR - Get Free Report) Director Jarrod Patten sold 2,775 shares of the business's stock in a transaction that occurred on Tuesday, August 25th. The shares were sold at an average price of $125.33, for a total value of $347,790.75. Following the completion of the sale, the director owned 28,406 shares of the company's stock, valued at approximately $3,560,123.98. This represents a 8.90% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website.

Strategy Stock Performance

Shares of Strategy stock traded down $3.64 during trading on Wednesday, reaching $123.19. The company's stock had a trading volume of 16,785,570 shares, compared to its average volume of 21,373,172. The firm has a market cap of $47.33 billion, a PE ratio of -1.27 and a beta of 3.54. The company has a 50-day moving average price of $99.08 and a two-hundred day moving average price of $128.13. The company has a current ratio of 5.39, a quick ratio of 5.39 and a debt-to-equity ratio of 0.22. Strategy Inc has a fifty-two week low of $81.81 and a fifty-two week high of $365.21.

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

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the business. Federated Hermes Inc. purchased a new position in shares of Strategy in the 2nd quarter valued at about $396,000. Cary Street Partners Financial LLC acquired a new position in Strategy during the second quarter worth about $202,000. Sei Investments Co. grew its position in Strategy by 136.0% during the second quarter. Sei Investments Co. now owns 39,905 shares of the software maker's stock worth $16,125,000 after buying an additional 22,999 shares during the period. The Manufacturers Life Insurance Company increased its holdings in Strategy by 59.4% in the second quarter. The Manufacturers Life Insurance Company now owns 19,215 shares of the software maker's stock valued at $7,767,000 after buying an additional 7,158 shares in the last quarter. Finally, Peapack Gladstone Financial Corp increased its holdings in Strategy by 22.0% in the second quarter. Peapack Gladstone Financial Corp now owns 3,055 shares of the software maker's stock valued at $1,235,000 after buying an additional 550 shares in the last quarter. Hedge funds and other institutional investors own 59.84% of the company's stock.

Trending Headlines about Strategy

Here are the key news stories impacting Strategy this week:

• Positive Sentiment: Strategy’s 840,447-Bitcoin holdings moved back into an estimated unrealized profit after Bitcoin rose above the company’s approximately $75,385 average cost basis. Because MSTR has significant exposure to Bitcoin, the rebound improved sentiment toward the stock. Bitcoin Price Rally Puts Strategy’s $66B BTC Bet Back in Profit Above $75,385 Cost Basis
• Positive Sentiment: Canaccord Genuity raised its price target on Strategy to $175 from $130 and maintained a Buy rating, citing the company’s new liquidity structure and Bitcoin momentum. The higher target provides a bullish catalyst, although it reflects substantial risk. Why Is Strategy Stock Surging on Tuesday?
• Neutral Sentiment: Strategy raised approximately $2.01 billion through share sales and created a roughly $1.59 billion cash pool. The reserve gives management flexibility to fund preferred dividends, debt obligations, buybacks or future Bitcoin purchases, but the company did not immediately add to its Bitcoin holdings. Strategy earmarks $1.6 billion cash pool for treasury operations, buybacks
• Negative Sentiment: Bernstein cut its MSTR price target by $100 to $350, while retaining a bullish long-term Bitcoin outlook, because Strategy’s faster equity issuance could dilute existing shareholders. The stock’s sensitivity to Bitcoin also remains exceptionally high: a $1,000 move in Bitcoin is estimated to change Strategy’s Bitcoin holdings’ value by about $840 million. Bernstein: Bitcoin Could Hit $500,000 By 2029, MSTR to $350
• Negative Sentiment: Commentators, including Jim Cramer, continue to warn that Strategy’s debt and recurring capital-market needs make MSTR riskier than direct Bitcoin exposure. One analysis estimates roughly $1.76 billion in annual obligations and argues that losing access to equity and debt markets—not necessarily a Bitcoin margin call—is the company’s key vulnerability. Strategy’s $66B Bitcoin machine hinges on capital markets, not BTC price

Wall Street Analysts Forecast Growth

MSTR has been the topic of several analyst reports. Benchmark reiterated a "buy" rating and issued a $435.00 target price (down from $570.00) on shares of Strategy in a research note on Monday, July 27th. Monness Crespi & Hardt reissued a "neutral" rating on shares of Strategy in a research note on Tuesday, June 2nd. Wall Street Zen upgraded shares of Strategy from a "strong sell" rating to a "sell" rating in a research report on Sunday, August 16th. Citigroup restated a "buy" rating and issued a $136.00 target price (down from $260.00) on shares of Strategy in a research note on Tuesday, June 30th. Finally, Barclays reaffirmed an "overweight" rating and issued a $125.00 target price (down from $130.00) on shares of Strategy in a report on Monday, August 3rd. One research analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, two have assigned a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus price target of $236.38.

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.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source