Strategy (NASDAQ:MSTR) Trading Down 4.8% After Analyst Downgrade

by · The Cerbat Gem

Strategy Incorporated (NASDAQ:MSTR – Get Free Report) was down 4.8% on Monday after Cantor Fitzgerald lowered their price target on the stock from $619.00 to $614.00. Cantor Fitzgerald currently has an overweight rating on the stock. Strategy traded as low as $374.20 and last traded at $375.42. Approximately 5,144,376 shares were traded during mid-day trading, a decline of 71% from the average daily volume of 17,989,817 shares. The stock had previously closed at $394.37.

Several other research analysts have also recently commented on the company. Keefe, Bruyette & Woods began coverage on Strategy in a research note on Friday, February 7th. They issued an “outperform” rating and a $560.00 price target on the stock. Barclays lowered their price objective on Strategy from $515.00 to $421.00 and set an “overweight” rating for the company in a report on Monday, February 10th. HC Wainwright initiated coverage on Strategy in a report on Tuesday, April 29th. They issued a “buy” rating and a $480.00 price target for the company. Canaccord Genuity Group raised their price objective on Strategy from $409.00 to $464.00 and gave the stock a “buy” rating in a research note on Friday. Finally, Mizuho initiated coverage on shares of Strategy in a report on Wednesday, January 29th. They set an “outperform” rating and a $515.00 target price on the stock. One research analyst has rated the stock with a sell rating, ten have assigned a buy rating and one has given a strong buy rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $509.92.

Get Our Latest Analysis on Strategy

Insider Buying and Selling

In other news, EVP Wei-Ming Shao sold 10,000 shares of the business’s stock in a transaction on Tuesday, April 15th. The stock was sold at an average price of $315.00, for a total transaction of $3,150,000.00. Following the sale, the executive vice president now directly owns 10,597 shares of the company’s stock, valued at $3,338,055. The trade was a 48.55 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Jarrod M. Patten sold 3,100 shares of the company’s stock in a transaction dated Friday, April 25th. The shares were sold at an average price of $365.33, for a total transaction of $1,132,523.00. Following the sale, the director now directly owns 4,970 shares of the company’s stock, valued at $1,815,690.10. This represents a 38.41 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have bought 8,000 shares of company stock valued at $680,000 and have sold 37,798 shares valued at $12,535,866. 9.16% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Strategy

A number of large investors have recently made changes to their positions in the business. Hollencrest Capital Management boosted its holdings in Strategy by 4.0% in the first quarter. Hollencrest Capital Management now owns 1,934 shares of the software maker’s stock worth $558,000 after purchasing an additional 75 shares in the last quarter. OVERSEA CHINESE BANKING Corp Ltd acquired a new stake in shares of Strategy in the first quarter worth about $13,795,000. Correct Capital Wealth Management boosted its stake in shares of Strategy by 12.4% during the 1st quarter. Correct Capital Wealth Management now owns 188,463 shares of the software maker’s stock worth $54,328,000 after acquiring an additional 20,790 shares in the last quarter. Moloney Securities Asset Management LLC increased its holdings in shares of Strategy by 62.1% during the 1st quarter. Moloney Securities Asset Management LLC now owns 1,318 shares of the software maker’s stock valued at $380,000 after acquiring an additional 505 shares during the last quarter. Finally, Greenleaf Trust raised its stake in shares of Strategy by 17.1% in the 1st quarter. Greenleaf Trust now owns 5,671 shares of the software maker’s stock valued at $1,635,000 after acquiring an additional 828 shares in the last quarter. Institutional investors and hedge funds own 59.84% of the company’s stock.

Strategy Trading Down 4.5 %

The company has a current ratio of 0.71, a quick ratio of 0.65 and a debt-to-equity ratio of 0.39. The company has a fifty day moving average of $304.20 and a two-hundred day moving average of $323.72. The stock has a market capitalization of $96.97 billion, a price-to-earnings ratio of -66.72 and a beta of 3.79.

Strategy (NASDAQ:MSTR – Get Free Report) last released its earnings results on Thursday, May 1st. The software maker reported ($16.49) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.02) by ($16.47). The firm had revenue of $111.07 million for the quarter, compared to analyst estimates of $116.66 million. Strategy had a negative return on equity of 19.01% and a negative net margin of 251.73%. The firm’s revenue was down 3.6% on a year-over-year basis. During the same period in the prior year, the firm earned ($0.83) EPS.

About Strategy

(Get Free Report)

Strategy Incorporated, formerly known as MicroStrategy, provides artificial intelligence-powered enterprise analytics software and services in the United States, Europe, the Middle East, Africa, and internationally. It offers Strategy ONE, a platform that allows non-technical users to access novel and actionable insights for decision-making, and Strategy Cloud for Government, which provides always-on threat monitoring designed to meet the strict technical and regulatory standards of governments and financial institutions.

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