Strategy (NASDAQ:MSTR) Stock Price Down 5.9% - Should You Sell?

Key Points

• Strategy Inc's stock price fell by 5.9%, trading between $338.58 and $341.80 during the session, significantly lower than its average trading volume.
• Analysts have mixed views on the stock, with price targets ranging from $54.00 to $700.00, indicating a consensus rating of "Moderate Buy" with a target price of $509.54.
• In the last ninety days, corporate insiders acquired 265,474 shares while selling 152,150 shares, suggesting a potentially bullish sentiment among company insiders.

Strategy Inc (NASDAQ:MSTR - Get Free Report) shares were down 5.9% during trading on Tuesday . The stock traded as low as $341.80 and last traded at $338.58. Approximately 3,237,649 shares traded hands during trading, a decline of 78% from the average daily volume of 14,650,772 shares. The stock had previously closed at $359.69.

Analyst Upgrades and Downgrades

Several research firms have issued reports on MSTR. Wells Fargo & Company reaffirmed an "equal weight" rating and set a $54.00 price objective (down previously from $65.00) on shares of Strategy in a report on Tuesday, September 30th. Canaccord Genuity Group reiterated a "buy" rating and issued a $464.00 price target on shares of Strategy in a report on Tuesday, August 26th. Mizuho lifted their price objective on Strategy from $563.00 to $586.00 and gave the stock an "outperform" rating in a research report on Monday, August 11th. Benchmark restated a "buy" rating on shares of Strategy in a research report on Wednesday, August 13th. Finally, BTIG Research lifted their price target on shares of Strategy from $620.00 to $700.00 and gave the stock a "buy" rating in a research report on Friday, August 1st. One investment analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating, three have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $509.54.

Strategy Price Performance

The company's 50 day simple moving average is $350.47 and its 200 day simple moving average is $363.41. 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 stock has a market cap of $95.54 billion, a P/E ratio of 29.67 and a beta of 3.83.

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

Insider Activity

In related news, Director Jane A. Dietze purchased 1,500 shares of the business's stock in a transaction on Tuesday, July 29th. The shares were purchased at an average price of $90.00 per share, with a total value of $135,000.00. Following the completion of the purchase, the director owned 1,500 shares in the company, valued at $135,000. This represents a ∞ increase in their position. The acquisition was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, Director Gregg Winiarski acquired 10,000 shares of the company's stock in a transaction that occurred on Friday, August 8th. The shares were bought at an average price of $97.65 per share, for a total transaction of $976,500.00. Following the completion of the acquisition, the director owned 10,000 shares of the company's stock, valued at $976,500. This trade represents a ∞ increase in their ownership of the stock. The disclosure for this purchase can be found here. In the last ninety days, insiders acquired 265,474 shares of company stock worth $24,056,259 and sold 152,150 shares worth $62,847,251. Corporate insiders own 8.46% of the company's stock.

Institutional Trading of Strategy

Institutional investors and hedge funds have recently bought and sold shares of the stock. Binnacle Investments Inc increased its position in shares of 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 during the last quarter. MCF Advisors LLC bought a new stake in Strategy during the second quarter worth $35,000. Maseco LLP bought a new position in shares of Strategy in the 2nd quarter valued at about $36,000. First United Bank & Trust bought a new stake in shares of Strategy in the 1st quarter valued at about $29,000. Finally, AllSquare Wealth Management LLC grew its holdings in Strategy by 100.0% during the second quarter. AllSquare Wealth Management LLC now owns 100 shares of the software maker's stock worth $40,000 after purchasing an additional 50 shares during the period. Institutional investors own 59.84% of the company's stock.

Strategy 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.

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