MicroStrategy (NASDAQ:MSTR) Shares Down 6.9% – Time to Sell?

MicroStrategy Incorporated (NASDAQ:MSTR) shares dropped 6.9% during mid-day trading on Tuesday . The company traded as low as $343.46 and last traded at $352.82. Approximately 9,436,910 shares changed hands during mid-day trading, a decline of 51% from the average daily volume of 19,324,588 shares. The stock had previously closed at $379.09.

Wall Street Analysts Forecast Growth

A number of research firms have commented on MSTR. Sanford C. Bernstein restated an “outperform” rating and set a $600.00 price target on shares of MicroStrategy in a research report on Thursday, December 12th. BTIG Research boosted their target price on MicroStrategy from $290.00 to $570.00 and gave the stock a “buy” rating in a report on Thursday, November 21st. TD Cowen upped their target price on MicroStrategy from $392.00 to $525.00 and gave the stock a “buy” rating in a research report on Monday, November 25th. Barclays lifted their price target on MicroStrategy from $275.00 to $515.00 and gave the company an “overweight” rating in a research report on Monday, November 25th. Finally, Benchmark reissued a “buy” rating and issued a $650.00 price target on shares of MicroStrategy in a report on Monday. One research analyst has rated the stock with a sell rating and eight have issued a buy rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $479.25.

MicroStrategy Stock Down 10.4 %

The firm has a market cap of $81.41 billion, a PE ratio of -161.22 and a beta of 3.25. The company has a debt-to-equity ratio of 1.12, a current ratio of 0.65 and a quick ratio of 0.65. The business has a fifty day moving average price of $345.91 and a two-hundred day moving average price of $222.45.

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 analysts’ consensus estimates of ($0.12) by ($1.44). The business had revenue of $116.07 million during the quarter, compared to analyst estimates of $121.45 million. MicroStrategy had a negative net margin of 87.05% and a negative return on equity of 17.31%. MicroStrategy’s revenue for the quarter was down 10.3% on a year-over-year basis. During the same quarter in the prior year, the company earned ($8.98) EPS.

Insider Buying and Selling

In related news, CFO Andrew Kang sold 5,700 shares of the firm’s stock in a transaction that occurred on Wednesday, November 6th. The shares were sold at an average price of $257.15, for a total transaction of $1,465,755.00. Following the transaction, the chief financial officer now owns 12,080 shares of the company’s stock, valued at approximately $3,106,372. This trade represents a 32.06 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CAO Jeanine Montgomery sold 752 shares of the business’s stock in a transaction that occurred on Thursday, November 14th. The stock was sold at an average price of $322.45, for a total transaction of $242,482.40. Following the completion of the sale, the chief accounting officer now directly owns 6,418 shares of the company’s stock, valued at $2,069,484.10. This represents a 10.49 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 102,000 shares of company stock worth $32,259,177. Corporate insiders own 13.18% of the company’s stock.

Institutional Investors Weigh In On MicroStrategy

Several institutional investors and hedge funds have recently modified their holdings of MSTR. Savant Capital LLC boosted its holdings in MicroStrategy by 2.6% in the 2nd quarter. Savant Capital LLC now owns 599 shares of the software maker’s stock valued at $825,000 after purchasing an additional 15 shares during the period. Ballentine Partners LLC lifted its stake in shares of MicroStrategy by 5.0% in the second quarter. Ballentine Partners LLC now owns 313 shares of the software maker’s stock valued at $431,000 after buying an additional 15 shares during the period. Versant Capital Management Inc grew its position in MicroStrategy by 38.2% during the fourth quarter. Versant Capital Management Inc now owns 141 shares of the software maker’s stock worth $41,000 after buying an additional 39 shares in the last quarter. Strategic Investment Solutions Inc. IL bought a new position in MicroStrategy during the second quarter valued at about $106,000. Finally, Magnetar Financial LLC raised its holdings in MicroStrategy by 31.6% in the 2nd quarter. Magnetar Financial LLC now owns 337 shares of the software maker’s stock valued at $464,000 after acquiring an additional 81 shares in the last quarter. Institutional investors and hedge funds 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.