Strategy (NASDAQ:MSTR) Trading Up 2.8% - Time to Buy?

Key Points

• Strategy Inc stock rose 2.8% on Friday, trading as high as $310.00, with a total trading volume significantly lower than average.
• Analysts have a generally positive outlook on Strategy, with a consensus rating of "Moderate Buy" and an average target price of $547.50.
• Insider trading activity includes significant stock sales by the EVP and purchases by a Director, indicating mixed signals about future confidence in the stock.

Strategy Inc (NASDAQ:MSTR - Get Free Report) traded up 2.8% on Friday . The company traded as high as $310.00 and last traded at $309.06. 11,638,531 shares changed hands during mid-day trading, a decline of 21% from the average session volume of 14,815,323 shares. The stock had previously closed at $300.70.

Wall Street Analyst Weigh In

A number of equities research analysts have recently weighed in on the company. Canaccord Genuity Group reaffirmed a "buy" rating and issued a $464.00 price objective on shares of Strategy in a research note on Tuesday, August 26th. BTIG Research boosted their target price on Strategy from $620.00 to $700.00 and gave the stock a "buy" rating in a research note on Friday, August 1st. Cowen reissued a "buy" rating on shares of Strategy in a research note on Wednesday, August 13th. Mizuho boosted their target price on Strategy from $563.00 to $586.00 and gave the stock an "outperform" rating in a research note on Monday, August 11th. Finally, Monness Crespi & Hardt upped their price objective on Strategy from $175.00 to $200.00 and gave the stock a "sell" rating in a research report on Tuesday, July 15th. One analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, Strategy presently has a consensus rating of "Moderate Buy" and an average target price of $547.50.

Strategy Trading Up 2.8%

The company has a debt-to-equity ratio of 0.17, a quick ratio of 0.68 and a current ratio of 0.68. The firm has a market capitalization of $87.63 billion, a price-to-earnings ratio of 27.21 and a beta of 3.82. The company has a 50-day moving average price of $361.54 and a 200-day moving average price of $359.86.

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

Insiders Place Their Bets

In other Strategy news, EVP Wei-Ming Shao sold 10,000 shares of the company's stock in a transaction that occurred on Thursday, September 18th. The stock was sold at an average price of $355.79, for a total transaction of $3,557,900.00. Following the completion of the sale, the executive vice president directly owned 12,726 shares of the company's stock, valued at $4,527,783.54. This represents a 44.00% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Gregg Winiarski acquired 10,000 shares of Strategy stock in a transaction on Friday, August 8th. The shares were bought at an average cost 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 disclosure for this purchase can be found here. In the last three months, insiders bought 265,474 shares of company stock worth $24,056,259 and sold 152,150 shares worth $62,847,251. Company insiders own 8.46% of the company's stock.

Institutional Trading of Strategy

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Toronto Dominion Bank increased its position in Strategy by 55.0% during the 4th quarter. Toronto Dominion Bank now owns 30,706 shares of the software maker's stock worth $8,892,000 after purchasing an additional 10,897 shares during the period. Mackenzie Financial Corp increased its position in Strategy by 72.1% during the 4th quarter. Mackenzie Financial Corp now owns 13,460 shares of the software maker's stock worth $3,898,000 after purchasing an additional 5,639 shares during the period. B. Riley Wealth Advisors Inc. increased its position in Strategy by 93.5% during the 4th quarter. B. Riley Wealth Advisors Inc. now owns 2,945 shares of the software maker's stock worth $853,000 after purchasing an additional 1,423 shares during the period. Universal Beteiligungs und Servicegesellschaft mbH acquired a new position in Strategy during the 4th quarter worth approximately $16,772,000. Finally, Siemens Fonds Invest GmbH increased its position in Strategy by 6,992.7% during the 4th quarter. Siemens Fonds Invest GmbH now owns 119,654 shares of the software maker's stock worth $33,000 after purchasing an additional 117,967 shares during the period. 59.84% of the stock is owned by hedge funds and other institutional investors.

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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