Strategy (NASDAQ:MSTR) Trading Down 1.4% - Here's Why

Key Points

• Strategy Inc's share price fell by 1.4% to $322.86, with trading volume drastically down by 68% compared to its average.
• Analysts have mixed opinions, with one rating a Strong Buy, eleven Buy, one Hold, and one Sell, reflecting a consensus Moderate Buy and an average price target of $552.50.
• In recent insider activities, Director Gregg Winiarski bought 10,000 shares at $97.65 each, while CAO Jeanine Montgomery sold 43,750 shares at $430.54, marking significant changes in ownership.

Strategy Inc (NASDAQ:MSTR - Get Free Report)'s share price dropped 1.4% during mid-day trading on Friday . The company traded as low as $320.00 and last traded at $322.86. Approximately 4,856,775 shares were traded during trading, a decline of 68% from the average daily volume of 15,052,423 shares. The stock had previously closed at $327.59.

Analysts Set New Price Targets

MSTR has been the topic of a number of research reports. Benchmark restated a "buy" rating on shares of Strategy in a research report on Wednesday, August 13th. Mizuho upped their price target on Strategy from $563.00 to $586.00 and gave the company an "outperform" rating in a research note on Monday, August 11th. TD Cowen upped their price target on Strategy from $590.00 to $680.00 and gave the company a "buy" rating in a research note on Tuesday, July 15th. Cantor Fitzgerald reaffirmed an "overweight" rating on shares of Strategy in a research note on Wednesday, August 13th. Finally, Cowen reaffirmed a "buy" rating on shares of Strategy in a research note on Wednesday, August 13th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating, one has given a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $552.50.

Strategy Stock Up 2.5%

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 firm's 50 day moving average is $387.28 and its two-hundred day moving average is $354.90. The firm has a market capitalization of $95.25 billion, a P/E ratio of 29.57 and a beta of 3.82.

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

Insider Activity

In other Strategy news, Director Gregg Winiarski bought 10,000 shares of the stock in a transaction on Friday, August 8th. The stock was purchased at an average price of $97.65 per share, with a total value of $976,500.00. Following the completion of the purchase, the director owned 10,000 shares in the company, valued at $976,500. The trade was a ∞ increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available through the SEC website. Also, CAO Jeanine Montgomery sold 43,750 shares of the company's stock in a transaction that occurred on Friday, July 11th. The shares were sold at an average price of $430.54, for a total value of $18,836,125.00. Following the completion of the sale, the chief accounting officer owned 8,606 shares in the company, valued at $3,705,227.24. The trade was a 83.56% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have acquired 252,974 shares of company stock valued at $22,844,759 and have sold 142,150 shares valued at $59,289,351. Insiders own 8.46% of the company's stock.

Institutional Investors Weigh In On Strategy

A number of large investors have recently made changes to their positions in the business. The Manufacturers Life Insurance Company increased its position in Strategy by 22.9% during the fourth quarter. The Manufacturers Life Insurance Company now owns 10,176 shares of the software maker's stock valued at $2,947,000 after acquiring an additional 1,897 shares during the last quarter. AQR Capital Management LLC increased its position in Strategy by 74.0% during the fourth quarter. AQR Capital Management LLC now owns 15,156 shares of the software maker's stock valued at $4,389,000 after acquiring an additional 6,448 shares during the last quarter. Ancora Advisors LLC increased its position in Strategy by 41.2% during the fourth quarter. Ancora Advisors LLC now owns 240 shares of the software maker's stock valued at $70,000 after acquiring an additional 70 shares during the last quarter. Baird Financial Group Inc. increased its position in Strategy by 182.9% during the fourth quarter. Baird Financial Group Inc. now owns 7,199 shares of the software maker's stock valued at $2,085,000 after acquiring an additional 4,654 shares during the last quarter. Finally, Captrust Financial Advisors increased its position in Strategy by 68.7% during the fourth quarter. Captrust Financial Advisors now owns 8,050 shares of the software maker's stock valued at $2,331,000 after acquiring an additional 3,279 shares during the last quarter. 59.84% of the stock is currently owned by institutional investors.

About Strategy

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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