MicroStrategy (NASDAQ:MSTR) Shares Gap Up – Time to Buy?

MicroStrategy Incorporated (NASDAQ:MSTR) gapped up prior to trading on Monday . The stock had previously closed at $234.34, but opened at $244.64. MicroStrategy shares last traded at $249.84, with a volume of 4,020,765 shares trading hands.

Wall Street Analysts Forecast Growth

A number of brokerages recently issued reports on MSTR. Sanford C. Bernstein reduced their price target on MicroStrategy from $2,890.00 to $290.00 and set an “outperform” rating on the stock in a research report on Wednesday, October 9th. Benchmark raised their price target on MicroStrategy from $215.00 to $245.00 and gave the stock a “buy” rating in a research report on Friday, October 18th. Barclays upped their price objective on shares of MicroStrategy from $173.00 to $225.00 and gave the stock an “overweight” rating in a research report on Monday, October 14th. Maxim Group increased their price objective on shares of MicroStrategy from $183.50 to $193.00 and gave the stock a “buy” rating in a research note on Friday, August 2nd. Finally, BTIG Research boosted their target price on shares of MicroStrategy from $180.00 to $240.00 and gave the company a “buy” rating in a research report on Monday, October 21st. One investment analyst has rated the stock with a sell rating and eight have issued a buy rating to the stock. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $220.00.

MicroStrategy Price Performance

The business’s fifty day moving average price is $165.99 and its 200 day moving average price is $151.61. The company has a debt-to-equity ratio of 1.31, a current ratio of 0.47 and a quick ratio of 0.47. The stock has a market cap of $45.80 billion, a P/E ratio of -184.99 and a beta of 3.11.

MicroStrategy (NASDAQ:MSTR) last issued its quarterly earnings data on Thursday, August 1st. The software maker reported ($0.57) EPS for the quarter, missing the consensus estimate of ($0.09) by ($0.48). The company had revenue of $111.44 million during the quarter, compared to the consensus estimate of $121.99 million. MicroStrategy had a negative net margin of 43.69% and a negative return on equity of 14.72%. MicroStrategy’s revenue for the quarter was down 7.4% on a year-over-year basis. During the same period in the previous year, the company earned $0.15 EPS.

Insider Activity at MicroStrategy

In other MicroStrategy news, CEO Phong Le sold 50,000 shares of the company’s stock in a transaction dated Thursday, August 22nd. The stock was sold at an average price of $138.28, for a total value of $6,914,000.00. Following the completion of the transaction, the chief executive officer now owns 12,670 shares of the company’s stock, valued at $1,752,007.60. This represents a 0.00 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. In other MicroStrategy news, CEO Phong Le sold 50,000 shares of the business’s stock in a transaction that occurred on Thursday, August 22nd. The shares were sold at an average price of $138.28, for a total transaction of $6,914,000.00. Following the sale, the chief executive officer now directly owns 12,670 shares of the company’s stock, valued at $1,752,007.60. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, EVP Wei-Ming Shao sold 3,000 shares of the company’s stock in a transaction that occurred on Thursday, August 22nd. The shares were sold at an average price of $141.20, for a total transaction of $423,600.00. Following the completion of the transaction, the executive vice president now owns 6,460 shares of the company’s stock, valued at approximately $912,152. This trade represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 101,838 shares of company stock valued at $13,950,265 in the last 90 days. 13.18% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the stock. Capital International Investors increased its stake in shares of MicroStrategy by 14.9% in the first quarter. Capital International Investors now owns 1,791,564 shares of the software maker’s stock valued at $3,053,828,000 after buying an additional 232,667 shares during the period. Vanguard Group Inc. boosted its holdings in MicroStrategy by 34.8% in the first quarter. Vanguard Group Inc. now owns 1,553,048 shares of the software maker’s stock valued at $2,647,263,000 after acquiring an additional 401,071 shares during the last quarter. International Assets Investment Management LLC raised its holdings in MicroStrategy by 224,965.1% during the 3rd quarter. International Assets Investment Management LLC now owns 238,569 shares of the software maker’s stock worth $40,223,000 after purchasing an additional 238,463 shares during the last quarter. Commonwealth Equity Services LLC raised its holdings in MicroStrategy by 827.3% during the 3rd quarter. Commonwealth Equity Services LLC now owns 225,531 shares of the software maker’s stock worth $38,025,000 after purchasing an additional 201,210 shares during the last quarter. Finally, Yong Rong HK Asset Management Ltd bought a new stake in shares of MicroStrategy in the 3rd quarter valued at $35,558,000. 72.03% of the stock is owned by 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.