Key Points
- Director Jarrod Patten sold 1,500 shares of Strategy on June 17 at an average price of $121.31, totaling about $181,965. After the sale, he still owned 28,406 shares, a 5.02% decrease in his stake.
- Strategy’s latest quarterly results showed a much larger-than-expected loss, with EPS of ($38.25) versus the consensus estimate of ($0.86). Revenue came in at $124.3 million, above estimates, and was up 11.9% year over year.
- Analyst sentiment remains generally positive despite concerns, with Strategy carrying a Moderate Buy consensus and an average price target of $313.93. However, recent coverage highlights worries that the company’s Bitcoin-buying strategy may be becoming harder to fund without more dilution or dividend pressure.
Strategy Inc (NASDAQ:MSTR - Get Free Report) Director Jarrod Patten sold 1,500 shares of the firm's stock in a transaction dated Wednesday, June 17th. The shares were sold at an average price of $121.31, for a total value of $181,965.00. Following the completion of the sale, the director directly owned 28,406 shares in the company, valued at approximately $3,445,931.86. This represents a 5.02% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink.
Strategy Price Performance
Shares of NASDAQ:MSTR opened at $112.53 on Friday. The company has a market cap of $39.44 billion, a price-to-earnings ratio of -2.80 and a beta of 3.49. The business has a 50 day moving average price of $153.01 and a 200 day moving average price of $150.29. The company has a quick ratio of 6.05, a current ratio of 6.05 and a debt-to-equity ratio of 0.22. Strategy Inc has a twelve month low of $104.17 and a twelve month high of $457.22.
Strategy (NASDAQ:MSTR - Get Free Report) last issued its quarterly earnings results on Tuesday, May 5th. The software maker reported ($38.25) EPS for the quarter, missing the consensus estimate of ($0.86) by ($37.39). Strategy had a negative return on equity of 26.97% and a negative net margin of 2,482.01%.The business had revenue of $124.30 million during the quarter, compared to the consensus estimate of $120.75 million. During the same period in the prior year, the firm earned ($16.49) earnings per share. The business's quarterly revenue was up 11.9% on a year-over-year basis. Research analysts predict that Strategy Inc will post 116.7 earnings per share for the current year.
Analyst Ratings Changes
MSTR has been the subject of a number of research reports. Mizuho reduced their price target on shares of Strategy from $320.00 to $265.00 and set an "outperform" rating for the company in a report on Monday, June 1st. BTIG Research restated a "buy" rating and set a $350.00 price objective (up from $250.00) on shares of Strategy in a report on Wednesday, May 6th. Cantor Fitzgerald reaffirmed an "overweight" rating on shares of Strategy in a research report on Monday. Weiss Ratings reiterated a "hold (c)" rating on shares of Strategy in a research note on Friday, March 27th. Finally, B. Riley Financial lifted their target price on Strategy from $200.00 to $215.00 and gave the stock a "buy" rating in a research report on Thursday, May 7th. One research analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, three have issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $313.93.
Get Our Latest Research Report on Strategy
Institutional Investors Weigh In On Strategy
Institutional investors have recently bought and sold shares of the business. Fideuram Asset Management Ireland dac bought a new stake in Strategy in the 4th quarter valued at $25,000. Westfuller Advisors LLC bought a new position in shares of Strategy during the 1st quarter worth about $25,000. Dogwood Wealth Management LLC boosted its position in shares of Strategy by 280.0% during the 4th quarter. Dogwood Wealth Management LLC now owns 190 shares of the software maker's stock valued at $29,000 after acquiring an additional 140 shares in the last quarter. Wilkerson Advisory Group LLC acquired a new stake in shares of Strategy during the 4th quarter valued at about $30,000. Finally, Binnacle Investments Inc increased its stake in Strategy by 492.9% in the second quarter. Binnacle Investments Inc now owns 83 shares of the software maker's stock valued at $34,000 after acquiring an additional 69 shares during the period. Institutional investors and hedge funds own 59.84% of the company's stock.
Strategy News Summary
Here are the key news stories impacting Strategy this week:
- Negative Sentiment: Strategy’s STRC preferred stock hit record lows, reviving concerns that the company’s Bitcoin-buying engine is becoming harder to fund without more dilution or dividend pressure. Article Title
- Negative Sentiment: Analyst and crypto-market commentary said STRC weakness is increasing worries about Strategy’s monthly dividend burden and shrinking room to keep financing Bitcoin purchases at the same pace. Article Title
- Negative Sentiment: Reports also warned that if funding tightens further, Strategy may eventually need to sell Bitcoin or curtail buying, which would undermine the bullish treasury narrative supporting MSTR shares. Article Title
- Negative Sentiment: Recent coverage said Strategy’s latest Bitcoin purchases are increasingly viewed as less sustainable, especially with more common-stock issuance and concerns that the model may not remain accretive. Article Title
- Neutral Sentiment: Executive Chairman Michael Saylor defended Strategy’s Bitcoin approach, calling the company a “shock absorber” rather than a systemic risk, but that has not yet calmed market concerns. Article Title
- Neutral Sentiment: Strategy also disclosed a small insider purchase by EVP Thomas C. Chow, which may be mildly supportive but is too small to offset the larger financing worries. Article Title
Strategy Company Profile
(
Get Free Report)
Strategy, formerly known as MicroStrategy, Incorporated (NASDAQ: MSTR) is a global provider of enterprise analytics and mobility software. The company’s flagship platform offers business intelligence, data discovery, and advanced visualizations that enable organizations to analyze large volumes of data and deliver actionable insights. In addition to traditional on-premises deployments, Strategy provides a range of cloud-based services and managed offerings that allow customers to leverage the power of its analytics tools without managing complex infrastructure.
Founded in 1989 by Michael J.
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