MicroStrategy (NASDAQ:MSTR) Stock Price Up 6.3% – Still a Buy?

MicroStrategy Incorporated (NASDAQ:MSTR)’s share price shot up 6.3% during trading on Monday . The stock traded as high as $364.88 and last traded at $360.96. 10,259,415 shares traded hands during mid-day trading, a decline of 41% from the average session volume of 17,274,043 shares. The stock had previously closed at $339.66.

Wall Street Analyst Weigh In

A number of research firms have recently commented on MSTR. BTIG Research increased their target price on MicroStrategy from $290.00 to $570.00 and gave the stock a “buy” rating in a research note on Thursday, November 21st. Canaccord Genuity Group raised their price objective on shares of MicroStrategy from $300.00 to $510.00 and gave the company a “buy” rating in a research note on Monday, November 25th. Benchmark reiterated a “buy” rating and issued a $650.00 target price on shares of MicroStrategy in a research note on Monday. Sanford C. Bernstein reissued an “outperform” rating and set a $600.00 price target on shares of MicroStrategy in a research report on Thursday, December 12th. Finally, Barclays upped their price objective on MicroStrategy from $275.00 to $515.00 and gave the company an “overweight” rating in a research report on Monday, November 25th. One research analyst has rated the stock with a sell rating and eight have assigned a buy rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $479.25.

MicroStrategy Stock Performance

The firm has a market cap of $89.31 billion, a P/E ratio of -176.88 and a beta of 3.25. The company has a debt-to-equity ratio of 1.12, a quick ratio of 0.65 and a current ratio of 0.65. The business’s 50-day simple moving average is $343.44 and its 200 day simple moving average is $220.81.

MicroStrategy (NASDAQ:MSTR) last issued its quarterly earnings data 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 period in the previous year, the firm earned ($8.98) EPS. The business’s revenue was down 10.3% on a year-over-year basis.

Insider Activity

In other MicroStrategy news, EVP Wei-Ming Shao sold 18,000 shares of the company’s stock in a transaction that occurred on Wednesday, November 13th. The shares were sold at an average price of $368.01, for a total transaction of $6,624,180.00. Following the completion of the sale, the executive vice president now directly owns 6,460 shares of the company’s stock, valued at approximately $2,377,344.60. This represents a 73.59 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CAO Jeanine Montgomery sold 56,250 shares of MicroStrategy stock in a transaction on Wednesday, November 6th. The stock was sold at an average price of $257.41, for a total transaction 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. This represents a 90.84 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 102,000 shares of company stock valued at $32,259,177 in the last quarter. 13.18% of the stock is currently owned by insiders.

Institutional Investors Weigh In On MicroStrategy

Several hedge funds and other institutional investors have recently added to or reduced their stakes in MSTR. National Bank of Canada FI lifted its holdings in MicroStrategy by 746.2% in the 3rd quarter. National Bank of Canada FI now owns 20,647 shares of the software maker’s stock worth $3,481,000 after purchasing an additional 18,207 shares in the last quarter. B. Riley Wealth Advisors Inc. bought a new position in MicroStrategy during the third quarter valued at approximately $254,000. Wellington Management Group LLP grew its holdings in MicroStrategy by 979.8% during the 3rd quarter. Wellington Management Group LLP now owns 6,727 shares of the software maker’s stock valued at $1,134,000 after buying an additional 6,104 shares in the last quarter. US Bancorp DE raised its holdings in shares of MicroStrategy by 782.8% during the 3rd quarter. US Bancorp DE now owns 4,255 shares of the software maker’s stock worth $717,000 after acquiring an additional 3,773 shares in the last quarter. Finally, Virtu Financial LLC raised its holdings in shares of MicroStrategy by 10,398.4% during the 3rd quarter. Virtu Financial LLC now owns 224,245 shares of the software maker’s stock worth $37,808,000 after acquiring an additional 222,109 shares in the last quarter. 59.84% of the stock is owned by hedge funds and other 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.