MicroStrategy (NASDAQ:MSTR) Shares Gap Down – What’s Next?

MicroStrategy Incorporated (NASDAQ:MSTR) gapped down prior to trading on Monday . The stock had previously closed at $327.91, but opened at $309.95. MicroStrategy shares last traded at $317.84, with a volume of 3,652,215 shares changing hands.

Analyst Ratings Changes

Several research firms have recently commented on MSTR. Canaccord Genuity Group increased 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. Maxim Group increased their price objective on MicroStrategy from $193.00 to $270.00 and gave the company a “buy” rating in a report on Thursday, October 31st. Benchmark reissued a “buy” rating and issued a $650.00 price objective on shares of MicroStrategy in a report on Monday, January 6th. Sanford C. Bernstein restated an “outperform” rating and issued a $600.00 price target on shares of MicroStrategy in a research note on Thursday, December 12th. Finally, TD Cowen increased their price target on MicroStrategy from $392.00 to $525.00 and gave the company a “buy” rating in a research note on Monday, November 25th. One analyst has rated the stock with a sell rating and eight have given a buy rating to the company. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $479.25.

MicroStrategy Stock Down 2.8 %

The company has a current ratio of 0.65, a quick ratio of 0.65 and a debt-to-equity ratio of 1.12. The stock has a market cap of $76.38 billion, a P/E ratio of -151.26 and a beta of 3.25. The firm has a 50-day simple moving average of $352.97 and a two-hundred day simple moving average of $227.74.

MicroStrategy (NASDAQ:MSTR) last posted its quarterly earnings data on Wednesday, October 30th. The software maker reported ($1.56) earnings per share for the quarter, missing the consensus estimate of ($0.12) by ($1.44). The firm had revenue of $116.07 million for the quarter, compared to the consensus estimate of $121.45 million. MicroStrategy had a negative return on equity of 17.31% and a negative net margin of 87.05%. The firm’s quarterly revenue was down 10.3% on a year-over-year basis. During the same quarter in the previous year, the business earned ($8.98) EPS.

Insiders Place Their Bets

In other news, CAO Jeanine Montgomery sold 56,250 shares of the 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 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 position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, EVP Wei-Ming Shao sold 18,000 shares of the stock in a transaction on Wednesday, November 13th. The stock was sold at an average price of $368.01, for a total value of $6,624,180.00. Following the sale, the executive vice president now directly owns 6,460 shares in the company, valued at approximately $2,377,344.60. This trade represents a 73.59 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 102,000 shares of company stock worth $32,259,177 in the last 90 days. Company insiders own 13.18% of the company’s stock.

Institutional Trading of MicroStrategy

Several large investors have recently bought and sold shares of the business. Versant Capital Management Inc boosted its stake in MicroStrategy by 38.2% in the fourth quarter. Versant Capital Management Inc now owns 141 shares of the software maker’s stock valued at $41,000 after buying an additional 39 shares in the last quarter. Strategic Investment Solutions Inc. IL acquired a new stake in MicroStrategy in the second quarter valued at about $106,000. Magnetar Financial LLC boosted its stake in MicroStrategy by 31.6% in the second quarter. Magnetar Financial LLC now owns 337 shares of the software maker’s stock valued at $464,000 after buying an additional 81 shares in the last quarter. Newbridge Financial Services Group Inc. boosted its stake in MicroStrategy by 10.9% in the second quarter. Newbridge Financial Services Group Inc. now owns 887 shares of the software maker’s stock valued at $1,222,000 after buying an additional 87 shares in the last quarter. Finally, Semmax Financial Advisors Inc. boosted its stake in MicroStrategy by 900.0% in the second quarter. Semmax Financial Advisors Inc. now owns 100 shares of the software maker’s stock valued at $138,000 after buying an additional 90 shares in the last quarter. 59.84% of the stock is 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.