MicroStrategy (NASDAQ:MSTR) Trading Down 3% – What’s Next?

MicroStrategy Incorporated (NASDAQ:MSTR) shares were down 3% during trading on Monday . The company traded as low as $303.80 and last traded at $318.12. Approximately 6,773,614 shares were traded during mid-day trading, a decline of 65% from the average daily volume of 19,313,344 shares. The stock had previously closed at $327.91.

Wall Street Analysts Forecast Growth

Several research firms recently issued reports on MSTR. Canaccord Genuity Group increased their target price on shares of MicroStrategy from $300.00 to $510.00 and gave the stock a “buy” rating in a report on Monday, November 25th. BTIG Research upped their target price on shares of MicroStrategy from $290.00 to $570.00 and gave the stock a “buy” rating in a report on Thursday, November 21st. Benchmark reiterated a “buy” rating and set a $650.00 price objective on shares of MicroStrategy in a research report on Monday, January 6th. TD Cowen lifted their target price on MicroStrategy from $392.00 to $525.00 and gave the stock a “buy” rating in a report on Monday, November 25th. Finally, Barclays increased their price target on MicroStrategy from $275.00 to $515.00 and gave the company an “overweight” rating in a research note on Monday, November 25th. One equities research analyst has rated the stock with a sell rating and eight have issued a buy rating to the company’s stock. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $479.25.

MicroStrategy Price Performance

The stock’s 50 day moving average price is $352.97 and its 200-day moving average price is $227.74. The company has a quick ratio of 0.65, a current ratio of 0.65 and a debt-to-equity ratio of 1.12. The stock has a market capitalization of $75.66 billion, a PE ratio of -149.83 and a beta of 3.25.

MicroStrategy (NASDAQ:MSTR) last issued its earnings results on Wednesday, October 30th. The software maker reported ($1.56) earnings per share for the quarter, missing the consensus estimate of ($0.12) by ($1.44). The firm had revenue of $116.07 million during the quarter, compared to analysts’ expectations of $121.45 million. MicroStrategy had a negative return on equity of 17.31% and a negative net margin of 87.05%. MicroStrategy’s quarterly revenue was down 10.3% compared to the same quarter last year. During the same quarter in the prior year, the company posted ($8.98) earnings per share.

Insider Activity at MicroStrategy

In other MicroStrategy news, CFO Andrew Kang sold 5,700 shares of the stock in a transaction dated Wednesday, November 6th. The stock was sold at an average price of $257.15, for a total value of $1,465,755.00. Following the completion of the sale, the chief financial officer now directly owns 12,080 shares in the company, valued at approximately $3,106,372. This trade represents a 32.06 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CAO Jeanine Montgomery sold 56,250 shares of the firm’s stock in a transaction dated Wednesday, November 6th. The stock was sold at an average price of $257.41, for a total value of $14,479,312.50. Following the completion of the sale, the chief accounting officer now directly owns 5,670 shares of the company’s stock, valued at approximately $1,459,514.70. This represents a 90.84 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 102,000 shares of company stock valued at $32,259,177 over the last ninety days. 13.18% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Versant Capital Management Inc increased its position in shares of MicroStrategy by 38.2% in the 4th quarter. Versant Capital Management Inc now owns 141 shares of the software maker’s stock valued at $41,000 after acquiring an additional 39 shares during the period. Strategic Investment Solutions Inc. IL acquired a new position in shares of MicroStrategy in the second quarter valued at about $106,000. Magnetar Financial LLC raised its stake in shares of MicroStrategy by 31.6% in the second quarter. Magnetar Financial LLC now owns 337 shares of the software maker’s stock worth $464,000 after purchasing an additional 81 shares during the last quarter. Newbridge Financial Services Group Inc. raised its stake in shares of MicroStrategy by 10.9% in the second quarter. Newbridge Financial Services Group Inc. now owns 887 shares of the software maker’s stock worth $1,222,000 after purchasing an additional 87 shares during the last quarter. Finally, Semmax Financial Advisors Inc. lifted its holdings in shares of MicroStrategy by 900.0% during the second quarter. Semmax Financial Advisors Inc. now owns 100 shares of the software maker’s stock worth $138,000 after purchasing an additional 90 shares during the period. Hedge funds and other institutional investors own 59.84% of the company’s stock.

MicroStrategy Company Profile

MicroStrategy Incorporated provides artificial intelligence-powered enterprise analytics software and services in the United States, Europe, the Middle East, Africa, and internationally. It offers MicroStrategy ONE, which provides non-technical users with the ability to directly access novel and actionable insights for decision-making; and MicroStrategy Cloud for Government service, which offers always-on threat monitoring that meets the rigorous technical and regulatory needs of governments and financial institutions.