MicroStrategy (NASDAQ:MSTR) Trading Down 4.4% – What’s Next?

MicroStrategy Incorporated (NASDAQ:MSTR) shares dropped 4.4% during trading on Tuesday . The company traded as low as $387.93 and last traded at $390.60. Approximately 8,399,980 shares traded hands during trading, a decline of 55% from the average daily volume of 18,791,889 shares. The stock had previously closed at $408.50.

Analyst Ratings Changes

Several equities research analysts recently weighed in on the stock. Sanford C. Bernstein reaffirmed an “outperform” rating and issued a $600.00 price objective on shares of MicroStrategy in a report on Thursday, December 12th. Cantor Fitzgerald assumed coverage on shares of MicroStrategy in a research note on Wednesday, August 21st. They issued an “overweight” rating and a $194.00 price target for the company. BTIG Research raised their price objective on shares of MicroStrategy from $290.00 to $570.00 and gave the company a “buy” rating in a research note on Thursday, November 21st. Maxim Group upped their target price on MicroStrategy from $193.00 to $270.00 and gave the stock a “buy” rating in a research report on Thursday, October 31st. Finally, Benchmark lifted their price target on MicroStrategy from $450.00 to $650.00 and gave the company a “buy” rating in a research report on Monday, November 25th. One investment analyst has rated the stock with a sell rating and eight have issued a buy rating to the stock. According to data from MarketBeat.com, MicroStrategy presently has an average rating of “Moderate Buy” and a consensus target price of $479.25.

MicroStrategy Stock Performance

The stock has a market cap of $66.16 billion, a price-to-earnings ratio of -154.94 and a beta of 3.17. The company’s 50-day simple moving average is $315.16 and its 200-day simple moving average is $206.03. The company has a quick ratio of 0.65, a current ratio of 0.65 and a debt-to-equity ratio of 1.12.

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

Insider Transactions at MicroStrategy

In other MicroStrategy news, CAO Jeanine Montgomery sold 56,250 shares of the business’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 transaction, the chief accounting officer now owns 5,670 shares in the company, valued at $1,459,514.70. The trade was a 90.84 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, CFO Andrew Kang sold 5,700 shares of the firm’s 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 sale, the chief financial officer now directly owns 12,080 shares of the company’s stock, valued at $3,106,372. This trade represents a 32.06 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 102,000 shares of company stock valued at $32,259,177 over the last quarter. Company insiders own 13.18% of the company’s stock.

Institutional Trading of MicroStrategy

Several large investors have recently added to or reduced their stakes in MSTR. Assenagon Asset Management S.A. bought a new position in shares of MicroStrategy during the 2nd quarter valued at $395,000. Nisa Investment Advisors LLC lifted its position in shares of MicroStrategy by 246.6% in the second quarter. Nisa Investment Advisors LLC now owns 1,660 shares of the software maker’s stock worth $2,287,000 after buying an additional 1,181 shares during the last quarter. Capital Wealth Alliance LLC boosted its stake in shares of MicroStrategy by 1.3% during the 2nd quarter. Capital Wealth Alliance LLC now owns 4,334 shares of the software maker’s stock worth $5,970,000 after acquiring an additional 56 shares in the last quarter. Secure Asset Management LLC acquired a new position in shares of MicroStrategy during the 2nd quarter valued at about $2,146,000. Finally, Traynor Capital Management Inc. raised its stake in shares of MicroStrategy by 202.0% in the 2nd quarter. Traynor Capital Management Inc. now owns 360 shares of the software maker’s stock valued at $495,000 after acquiring an additional 713 shares in the last quarter. 59.84% of the stock is owned by institutional investors.

About MicroStrategy

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.