MicroStrategy (NASDAQ:MSTR) Shares Gap Down – Here’s Why

MicroStrategy Incorporated (NASDAQ:MSTR) gapped down prior to trading on Monday . The stock had previously closed at $334.79, but opened at $310.00. MicroStrategy shares last traded at $326.61, with a volume of 4,938,631 shares changing hands.

Analyst Upgrades and Downgrades

Several equities analysts recently issued reports on MSTR shares. Compass Point upgraded MicroStrategy to a “strong-buy” rating in a research report on Wednesday, January 29th. Canaccord Genuity Group lifted their target price on shares of MicroStrategy from $300.00 to $510.00 and gave the stock a “buy” rating in a research note on Monday, November 25th. TD Cowen increased their price target on shares of MicroStrategy from $392.00 to $525.00 and gave the company a “buy” rating in a research report on Monday, November 25th. Sanford C. Bernstein restated an “outperform” rating and issued a $600.00 price objective on shares of MicroStrategy in a research report on Thursday, December 12th. Finally, Benchmark reiterated a “buy” rating and set a $650.00 target price on shares of MicroStrategy in a report on Tuesday, January 14th. One research analyst has rated the stock with a sell rating, nine have given a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $483.22.

MicroStrategy Price Performance

The company has a debt-to-equity ratio of 1.12, a current ratio of 0.65 and a quick ratio of 0.65. The stock has a 50 day moving average price of $358.58 and a 200 day moving average price of $253.42.

Insider Transactions at MicroStrategy

In other news, EVP Wei-Ming Shao sold 18,000 shares of the firm’s stock in a transaction on Wednesday, November 13th. The stock was sold at an average price of $368.01, for a total transaction of $6,624,180.00. Following the completion of the transaction, the executive vice president now directly owns 6,460 shares in the company, valued at $2,377,344.60. This trade represents a 73.59 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Stephen X. Graham sold 20,000 shares of MicroStrategy stock in a transaction dated Thursday, November 21st. The stock was sold at an average price of $451.36, for a total value of $9,027,200.00. Following the completion of the transaction, the director now directly owns 6,970 shares of the company’s stock, valued at approximately $3,145,979.20. This represents a 74.16 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 40,050 shares of company stock valued at $16,314,110 in the last three months. 9.16% of the stock is currently owned by company insiders.

Institutional Trading of MicroStrategy

Institutional investors and hedge funds have recently bought and sold shares of the company. Aspect Partners LLC bought a new position in shares of MicroStrategy during the fourth quarter valued at $28,000. Private Wealth Management Group LLC lifted its stake in MicroStrategy by 208.8% during the 4th quarter. Private Wealth Management Group LLC now owns 105 shares of the software maker’s stock valued at $30,000 after acquiring an additional 71 shares during the period. Compagnie Lombard Odier SCmA purchased a new stake in shares of MicroStrategy during the 4th quarter valued at about $32,000. First Horizon Advisors Inc. bought a new stake in shares of MicroStrategy in the fourth quarter worth approximately $32,000. Finally, Activest Wealth Management purchased a new position in shares of MicroStrategy during the fourth quarter valued at approximately $33,000. 59.84% of the stock is currently owned by 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.