Strategy (NASDAQ:MSTR) Shares Up 5.8% – Here’s Why

Shares of Strategy Inc (NASDAQ:MSTR) rose 5.8% during trading on Tuesday . The stock traded as high as $188.37 and last traded at $181.33. Approximately 31,066,457 shares were traded during mid-day trading, an increase of 108% from the average daily volume of 14,931,472 shares. The stock had previously closed at $171.42.

Wall Street Analysts Forecast Growth

Several research analysts have issued reports on the stock. Mizuho raised their price target on shares of Strategy from $563.00 to $586.00 and gave the stock an “outperform” rating in a report on Monday, August 11th. Citigroup began coverage on shares of Strategy in a report on Tuesday, October 21st. They issued a “buy” rating and a $485.00 target price on the stock. Canaccord Genuity Group increased their price target on Strategy from $464.00 to $474.00 and gave the stock a “buy” rating in a report on Monday, November 3rd. Cowen reissued a “buy” rating on shares of Strategy in a research report on Friday, October 31st. Finally, HC Wainwright cut their target price on Strategy from $521.00 to $475.00 and set a “buy” rating on the stock in a research report on Monday, November 3rd. One research analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and four have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $485.80.

Strategy Stock Performance

The stock has a market cap of $52.11 billion, a price-to-earnings ratio of 15.96 and a beta of 3.87. The company’s fifty day simple moving average is $265.07 and its two-hundred day simple moving average is $338.45. The company has a debt-to-equity ratio of 0.17, a current ratio of 0.68 and a quick ratio of 0.68.

Strategy (NASDAQ:MSTR) last posted its earnings results on Thursday, October 30th. The software maker reported $8.42 EPS for the quarter, topping the consensus estimate of ($0.10) by $8.52. Strategy had a net margin of 1,036.61% and a return on equity of 18.83%. The company had revenue of $128.69 million during the quarter, compared to the consensus estimate of $116.65 million. During the same period in the previous year, the firm posted ($1.56) earnings per share. The firm’s revenue for the quarter was up 10.9% on a year-over-year basis. Strategy has set its FY 2025 guidance at 80.000-80.000 EPS.

Insider Activity

In related news, Director Jarrod M. Patten acquired 12,000 shares of the company’s stock in a transaction on Friday, October 17th. The shares were acquired at an average cost of $96.88 per share, for a total transaction of $1,162,560.00. Following the purchase, the director owned 29,335 shares in the company, valued at approximately $2,841,974.80. The trade was a 69.22% increase in their ownership of the stock. The acquisition was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, EVP Wei-Ming Shao sold 30,000 shares of Strategy stock in a transaction on Tuesday, October 7th. The stock was sold at an average price of $357.37, for a total transaction of $10,721,100.00. Following the transaction, the executive vice president directly owned 12,726 shares in the company, valued at $4,547,890.62. This represents a 70.21% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have purchased 37,380 shares of company stock worth $3,632,719 and have sold 53,177 shares worth $17,122,166. Corporate insiders own 8.46% of the company’s stock.

Institutional Investors Weigh In On Strategy

Institutional investors have recently added to or reduced their stakes in the company. Pilgrim Partners Asia Pte Ltd purchased a new stake in shares of Strategy during the third quarter valued at approximately $32,000. Quent Capital LLC bought a new position in Strategy during the third quarter valued at about $33,000. Binnacle Investments Inc increased its holdings in Strategy by 492.9% during the second quarter. Binnacle Investments Inc now owns 83 shares of the software maker’s stock worth $34,000 after buying an additional 69 shares during the last quarter. MCF Advisors LLC bought a new stake in Strategy in the second quarter worth about $35,000. Finally, Maseco LLP bought a new stake in Strategy in the second quarter worth about $36,000. 59.84% of the stock is owned by institutional investors.

About Strategy

Strategy Incorporated, formerly known as MicroStrategy, provides artificial intelligence-powered enterprise analytics software and services in the United States, Europe, the Middle East, Africa, and internationally. It offers Strategy ONE, a platform that allows non-technical users to access novel and actionable insights for decision-making, and Strategy Cloud for Government, which provides always-on threat monitoring designed to meet the strict technical and regulatory standards of governments and financial institutions.