MicroStrategy (NASDAQ:MSTR) Shares Down 2% – Here’s Why

MicroStrategy Incorporated (NASDAQ:MSTR)’s share price dropped 2% on Wednesday . The company traded as low as $325.82 and last traded at $335.01. Approximately 6,450,641 shares changed hands during trading, a decline of 64% from the average daily volume of 17,897,928 shares. The stock had previously closed at $341.81.

Wall Street Analyst Weigh In

Several brokerages have recently issued reports on MSTR. Mizuho initiated coverage on shares of MicroStrategy in a research note on Wednesday, January 29th. They set an “outperform” rating and a $515.00 price target for the company. Cantor Fitzgerald boosted their target price on MicroStrategy from $613.00 to $619.00 and gave the company an “overweight” rating in a research note on Thursday, February 6th. Canaccord Genuity Group cut their price target on MicroStrategy from $510.00 to $409.00 and set a “buy” rating for the company in a research note on Thursday, February 6th. Compass Point upgraded MicroStrategy to a “strong-buy” rating in a research note on Wednesday, January 29th. Finally, Keefe, Bruyette & Woods began coverage on shares of MicroStrategy in a research report on Friday, February 7th. They set an “outperform” rating and a $560.00 target price for the company. One analyst has rated the stock with a hold rating, nine have issued a buy rating and one has issued a strong buy rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Buy” and a consensus target price of $536.90.

MicroStrategy Stock Down 3.4 %

The company’s 50 day simple moving average is $317.25 and its 200-day simple moving average is $292.11. The company has a debt-to-equity ratio of 0.39, a quick ratio of 0.65 and a current ratio of 0.71. The firm has a market capitalization of $84.95 billion, a PE ratio of -58.67 and a beta of 3.36.

MicroStrategy (NASDAQ:MSTR) last issued its quarterly earnings data on Wednesday, February 5th. The software maker reported ($3.20) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.13) by ($3.07). MicroStrategy had a negative return on equity of 19.01% and a negative net margin of 251.73%.

Insider Transactions at MicroStrategy

In other news, CEO Phong Le acquired 6,000 shares of the firm’s stock in a transaction that occurred on Thursday, March 20th. The shares were bought at an average cost of $85.00 per share, with a total value of $510,000.00. Following the acquisition, the chief executive officer now owns 6,000 shares in the company, valued at approximately $510,000. This represents a ∞ increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Andrew Kang purchased 1,500 shares of MicroStrategy stock in a transaction on Thursday, March 20th. The shares were acquired at an average price of $85.00 per share, for a total transaction of $127,500.00. Following the completion of the transaction, the chief financial officer now directly owns 1,500 shares of the company’s stock, valued at approximately $127,500. The trade was a ∞ increase in their ownership of the stock. The disclosure for this purchase can be found here. Over the last 90 days, insiders acquired 8,000 shares of company stock valued at $680,000. 9.16% of the stock is owned by corporate insiders.

Institutional Trading of MicroStrategy

Several institutional investors have recently added to or reduced their stakes in MSTR. National Bank of Canada FI increased its stake 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 during the period. Proficio Capital Partners LLC bought a new stake in MicroStrategy in the 4th quarter worth $81,783,000. Clarity Capital Partners LLC increased its position in shares of MicroStrategy by 122.3% in the fourth quarter. Clarity Capital Partners LLC now owns 25,115 shares of the software maker’s stock valued at $7,274,000 after acquiring an additional 13,817 shares during the period. B. Riley Wealth Advisors Inc. bought a new position in shares of MicroStrategy during the third quarter valued at about $254,000. Finally, Wellington Management Group LLP grew its stake in shares of MicroStrategy by 979.8% in the third quarter. Wellington Management Group LLP now owns 6,727 shares of the software maker’s stock worth $1,134,000 after purchasing an additional 6,104 shares during the last quarter. 59.84% of the stock is currently owned by hedge funds and other institutional investors.

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.