MicroStrategy (NASDAQ:MSTR) Shares Up 7.8% – Time to Buy?

MicroStrategy Incorporated (NASDAQ:MSTR)’s stock price traded up 7.8% on Wednesday . The stock traded as high as $361.00 and last traded at $358.18. 16,377,780 shares were traded during trading, a decline of 14% from the average session volume of 19,015,719 shares. The stock had previously closed at $332.23.

Analyst Upgrades and Downgrades

Several equities research analysts recently issued reports on MSTR shares. TD Cowen increased their price objective on MicroStrategy from $392.00 to $525.00 and gave the stock a “buy” rating in a research note on Monday, November 25th. Sanford C. Bernstein reissued an “outperform” rating and set a $600.00 target price on shares of MicroStrategy in a research note on Thursday, December 12th. BTIG Research lifted their price objective on MicroStrategy from $290.00 to $570.00 and gave the company a “buy” rating in a research report on Thursday, November 21st. Benchmark boosted their price target on MicroStrategy from $450.00 to $650.00 and gave the company a “buy” rating in a research note on Monday, November 25th. Finally, Maxim Group raised their price objective on shares of MicroStrategy from $193.00 to $270.00 and gave the company a “buy” rating in a research report on Thursday, October 31st. One equities research analyst has rated the stock with a sell rating and eight have assigned a buy rating to the company’s stock. Based on data from MarketBeat, MicroStrategy has a consensus rating of “Moderate Buy” and an average target price of $479.25.

MicroStrategy Stock Performance

The stock’s 50-day moving average price is $326.94 and its 200 day moving average price is $211.42. 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 company has a market cap of $85.84 billion, a P/E ratio of -169.99 and a beta of 3.17.

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

Insider Activity at MicroStrategy

In related news, CAO Jeanine Montgomery sold 56,250 shares of the company’s stock in a transaction on Wednesday, November 6th. The shares were sold at an average price of $257.41, for a total transaction of $14,479,312.50. Following the completion of the transaction, the chief accounting officer now directly owns 5,670 shares in the company, valued at $1,459,514.70. This represents a 90.84 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CEO Phong Le sold 1,252 shares of the firm’s stock in a transaction on Thursday, November 14th. The stock was sold at an average price of $322.45, for a total transaction of $403,707.40. Following the completion of the sale, the chief executive officer now owns 13,918 shares in the company, valued at $4,487,859.10. This represents a 8.25 % 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 worth $32,259,177 in the last 90 days. 13.18% of the stock is owned by company insiders.

Institutional Trading of MicroStrategy

A number of hedge funds have recently modified their holdings of MSTR. Signaturefd LLC lifted its position in MicroStrategy by 13.6% in the second quarter. Signaturefd LLC now owns 50 shares of the software maker’s stock worth $69,000 after purchasing an additional 6 shares during the period. Strategic Investment Solutions Inc. IL bought a new stake in shares of MicroStrategy in the 2nd quarter valued at approximately $106,000. Larson Financial Group LLC lifted its position in shares of MicroStrategy by 72.3% during the 2nd quarter. Larson Financial Group LLC now owns 81 shares of the software maker’s stock worth $112,000 after buying an additional 34 shares during the period. Ridgewood Investments LLC acquired a new stake in MicroStrategy in the 2nd quarter valued at $138,000. Finally, Semmax Financial Advisors Inc. grew its position in MicroStrategy by 900.0% in the second quarter. Semmax Financial Advisors Inc. now owns 100 shares of the software maker’s stock valued at $138,000 after acquiring an additional 90 shares during the period. Institutional investors own 59.84% of the company’s stock.

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.