MicroStrategy (NASDAQ:MSTR) Shares Up 2.2% – Should You Buy?

MicroStrategy Incorporated (NASDAQ:MSTR) shot up 2.2% on Monday . The company traded as high as $405.00 and last traded at $395.01. 26,206,157 shares traded hands during mid-day trading, a decline of 34% from the average session volume of 39,472,996 shares. The stock had previously closed at $386.40.

Analysts Set New Price Targets

Several research firms have recently weighed in on MSTR. TD Cowen raised their target price on shares of MicroStrategy from $392.00 to $525.00 and gave the stock a “buy” rating in a research report on Monday, November 25th. Cantor Fitzgerald assumed coverage on shares of MicroStrategy in a research note on Wednesday, August 21st. They set an “overweight” rating and a $194.00 price target for the company. Sanford C. Bernstein lifted their price objective on shares of MicroStrategy from $290.00 to $600.00 and gave the company an “outperform” rating in a research note on Monday, November 25th. BTIG Research increased their target price on shares of MicroStrategy from $290.00 to $570.00 and gave the stock a “buy” rating in a research note on Thursday, November 21st. Finally, Canaccord Genuity Group raised their price target on MicroStrategy from $300.00 to $510.00 and gave the stock a “buy” rating in a report on Monday, November 25th. One investment analyst has rated the stock with a sell rating and eight have issued a buy rating to the company. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $479.25.

MicroStrategy Price Performance

The company has a market cap of $76.46 billion, a price-to-earnings ratio of -179.08 and a beta of 3.17. The company has a 50-day simple moving average of $289.46 and a 200-day simple moving average of $196.55. The company has a debt-to-equity ratio of 1.12, a quick ratio of 0.65 and a current ratio of 0.65.

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

Insider Activity at MicroStrategy

In other MicroStrategy news, Director Stephen X. Graham sold 20,000 shares of the company’s stock in a transaction dated Thursday, November 21st. The shares were sold at an average price of $451.36, for a total value of $9,027,200.00. Following the transaction, the director now directly owns 6,970 shares in the company, valued at approximately $3,145,979.20. This represents a 74.16 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CAO Jeanine Montgomery sold 752 shares of MicroStrategy stock in a transaction dated Thursday, November 14th. The stock was sold at an average price of $322.45, for a total transaction of $242,482.40. Following the sale, the chief accounting officer now owns 6,418 shares of the company’s stock, valued at approximately $2,069,484.10. This trade represents a 10.49 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 102,000 shares of company stock valued at $32,259,177. Insiders own 13.18% of the company’s stock.

Hedge Funds Weigh In On MicroStrategy

Several institutional investors and hedge funds have recently modified their holdings of MSTR. US Bancorp DE raised its holdings in MicroStrategy by 782.8% in the 3rd quarter. US Bancorp DE now owns 4,255 shares of the software maker’s stock valued at $717,000 after acquiring an additional 3,773 shares during the last quarter. Freedom Investment Management Inc. acquired a new position in MicroStrategy in the third quarter valued at $737,000. Vinva Investment Management Ltd purchased a new position in MicroStrategy during the third quarter worth about $246,000. Hartline Investment Corp boosted its stake in MicroStrategy by 1,064.6% in the 3rd quarter. Hartline Investment Corp now owns 5,322 shares of the software maker’s stock worth $897,000 after buying an additional 4,865 shares during the last quarter. Finally, National Pension Service grew its holdings in MicroStrategy by 900.0% in the 3rd quarter. National Pension Service now owns 245,000 shares of the software maker’s stock valued at $41,307,000 after buying an additional 220,500 shares during the period. Hedge funds and other institutional investors own 59.84% of the company’s stock.

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.