MicroStrategy (NASDAQ:MSTR) Stock Price Down 4% – Should You Sell?

MicroStrategy Incorporated (NASDAQ:MSTR) shares fell 4% during mid-day trading on Wednesday . The company traded as low as $376.85 and last traded at $373.64. 5,544,902 shares were traded during trading, a decline of 72% from the average session volume of 19,481,021 shares. The stock had previously closed at $389.10.

Analyst Upgrades and Downgrades

Several research firms recently commented on MSTR. Maxim Group raised their price target on shares of MicroStrategy from $193.00 to $270.00 and gave the stock a “buy” rating in a research note on Thursday, October 31st. Barclays raised their target price on shares of MicroStrategy from $275.00 to $515.00 and gave the stock an “overweight” rating in a research report on Monday, November 25th. Benchmark reiterated a “buy” rating and issued a $650.00 price target on shares of MicroStrategy in a report on Tuesday, January 14th. Canaccord Genuity Group lifted their price objective on MicroStrategy from $300.00 to $510.00 and gave the company a “buy” rating in a report on Monday, November 25th. Finally, TD Cowen increased their target price on shares of MicroStrategy from $392.00 to $525.00 and gave the stock a “buy” rating in a report on Monday, November 25th. One investment analyst has rated the stock with a sell rating and eight have given a buy rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $479.25.

MicroStrategy Stock Down 3.2 %

The company has a market capitalization of $90.25 billion, a price-to-earnings ratio of -178.41 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 moving average is $365.64 and its 200 day moving average is $239.24.

MicroStrategy (NASDAQ:MSTR) last issued its earnings results on Wednesday, October 30th. The software maker reported ($1.56) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates 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 analysts’ expectations of $121.45 million. During the same quarter last year, the business earned ($8.98) EPS. The business’s revenue was down 10.3% on a year-over-year basis.

Insider Activity at MicroStrategy

In other MicroStrategy 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 value of $14,479,312.50. Following the sale, the chief accounting officer now directly owns 5,670 shares of the company’s stock, valued at approximately $1,459,514.70. This represents a 90.84 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Stephen X. Graham sold 20,000 shares of MicroStrategy stock in a transaction dated Thursday, November 21st. The shares were sold at an average price of $451.36, for a total value of $9,027,200.00. Following the transaction, the director now owns 6,970 shares of the company’s stock, valued at $3,145,979.20. The trade was a 74.16 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 102,000 shares of company stock worth $32,259,177 over the last quarter. Insiders own 9.16% of the company’s stock.

Hedge Funds Weigh In On MicroStrategy

Several large investors have recently made changes to their positions in the company. Geode Capital Management LLC boosted its stake in shares of MicroStrategy by 990.6% during the 3rd quarter. Geode Capital Management LLC now owns 2,766,283 shares of the software maker’s stock worth $465,573,000 after acquiring an additional 2,512,645 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its holdings in MicroStrategy by 971.3% in the third quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 639,707 shares of the software maker’s stock valued at $107,855,000 after purchasing an additional 579,994 shares during the period. Charles Schwab Investment Management Inc. increased its position in shares of MicroStrategy by 587.4% in the third quarter. Charles Schwab Investment Management Inc. now owns 664,261 shares of the software maker’s stock valued at $111,994,000 after buying an additional 567,628 shares in the last quarter. Swiss National Bank raised its stake in shares of MicroStrategy by 904.7% during the 3rd quarter. Swiss National Bank now owns 468,200 shares of the software maker’s stock worth $78,939,000 after buying an additional 421,600 shares during the period. Finally, Sumitomo Mitsui Trust Group Inc. lifted its position in shares of MicroStrategy by 1,077.0% during the 3rd quarter. Sumitomo Mitsui Trust Group Inc. now owns 343,164 shares of the software maker’s stock valued at $57,857,000 after buying an additional 314,007 shares in the last quarter. 59.84% of the stock is currently owned by institutional investors and hedge funds.

MicroStrategy Company Profile

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.