MicroStrategy (NASDAQ:MSTR) Shares Down 5.6% - What's Next?

Key Points

• MicroStrategy's share price fell by 5.6% during trading, closing at $343.32 after reaching a low of $346.31, with trading volume down 73% from its daily average.
• Analysts have set a consensus target price of $552.50 for the stock, with ratings varying from "Strong Buy" to "Sell," reflecting mixed investor sentiment.
• Insider trading activity has shown significant moves, with a director purchasing 10,000 shares, while the CFO sold 18,750 shares, indicating fluctuating confidence among company executives.

MicroStrategy Incorporated (NASDAQ:MSTR - Get Free Report)'s share price dropped 5.6% during trading on Tuesday . The company traded as low as $346.31 and last traded at $343.32. Approximately 4,082,116 shares were traded during mid-day trading, a decline of 73% from the average daily volume of 15,329,164 shares. The stock had previously closed at $363.60.

Analysts Set New Price Targets

Several brokerages have issued reports on MSTR. Monness Crespi & Hardt boosted their price target on MicroStrategy from $175.00 to $200.00 and gave the company a "sell" rating in a research note on Tuesday, July 15th. Canaccord Genuity Group reaffirmed a "buy" rating on shares of MicroStrategy in a research report on Monday, May 19th. HC Wainwright initiated coverage on MicroStrategy in a report on Tuesday, April 29th. They set a "buy" rating and a $480.00 price objective on the stock. Mizuho increased their price objective on MicroStrategy from $563.00 to $586.00 and gave the stock an "outperform" rating in a report on Monday, August 11th. Finally, BTIG Research increased their price objective on MicroStrategy from $620.00 to $700.00 and gave the stock a "buy" rating in a report on Friday, August 1st. One investment analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating, one has issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $552.50.

MicroStrategy Stock Performance

The company has a market cap of $92.70 billion, a PE ratio of 29.98 and a beta of 3.76. The company has a debt-to-equity ratio of 0.17, a current ratio of 0.68 and a quick ratio of 0.68. The business has a 50-day moving average of $397.38 and a 200 day moving average of $354.59.

MicroStrategy (NASDAQ:MSTR - Get Free Report) last posted its quarterly earnings data on Thursday, July 31st. The software maker reported $32.60 EPS for the quarter, beating analysts' consensus estimates of ($0.12) by $32.72. MicroStrategy had a return on equity of 18.83% and a net margin of 1,036.61%.The company had revenue of $114.49 million during the quarter, compared to analysts' expectations of $112.68 million. During the same quarter in the prior year, the business earned ($5.74) earnings per share. MicroStrategy's revenue for the quarter was up 2.7% compared to the same quarter last year. MicroStrategy has set its FY 2025 guidance at 80.000-80.000 EPS.

Insider Buying and Selling at MicroStrategy

In related news, Director Gregg Winiarski purchased 10,000 shares of MicroStrategy stock in a transaction dated Friday, August 8th. The stock was purchased at an average cost of $97.65 per share, with a total value of $976,500.00. Following the transaction, the director owned 10,000 shares in the company, valued at approximately $976,500. The trade was a ∞ increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CFO Andrew Kang sold 18,750 shares of the firm's stock in a transaction on Thursday, August 7th. The stock was sold at an average price of $395.00, for a total value of $7,406,250.00. Following the completion of the sale, the chief financial officer directly owned 24,460 shares of the company's stock, valued at $9,661,700. The trade was a 43.39% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders bought 278,132 shares of company stock valued at $25,145,795 and sold 188,933 shares valued at $76,682,203. 8.46% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On MicroStrategy

Several large investors have recently bought and sold shares of MSTR. SJS Investment Consulting Inc. lifted its holdings in MicroStrategy by 25.8% in the second quarter. SJS Investment Consulting Inc. now owns 117 shares of the software maker's stock valued at $47,000 after acquiring an additional 24 shares during the last quarter. Mutual Advisors LLC increased its holdings in MicroStrategy by 2.0% in the second quarter. Mutual Advisors LLC now owns 1,350 shares of the software maker's stock valued at $548,000 after buying an additional 27 shares during the last quarter. Bernardo Wealth Planning LLC increased its holdings in MicroStrategy by 3.9% in the second quarter. Bernardo Wealth Planning LLC now owns 772 shares of the software maker's stock valued at $312,000 after buying an additional 29 shares during the last quarter. Family Management Corp increased its holdings in MicroStrategy by 2.2% in the fourth quarter. Family Management Corp now owns 1,370 shares of the software maker's stock valued at $397,000 after buying an additional 30 shares during the last quarter. Finally, Smith Anglin Financial LLC increased its holdings in MicroStrategy by 1.2% in the second quarter. Smith Anglin Financial LLC now owns 2,537 shares of the software maker's stock valued at $1,025,000 after buying an additional 30 shares during the last quarter. 59.84% of the stock is currently owned by hedge funds and other institutional investors.

MicroStrategy Company Profile

Strategy Incorporated, formerly known as MicroStrategy, provides artificial intelligence-powered enterprise analytics software and services in the United States, Europe, the Middle East, Africa, and internationally. It offers Strategy ONE, a platform that allows non-technical users to access novel and actionable insights for decision-making, and Strategy Cloud for Government, which provides always-on threat monitoring designed to meet the strict technical and regulatory standards of governments and financial institutions.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.