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

Shares of MicroStrategy Incorporated (NASDAQ:MSTR) gapped down prior to trading on Tuesday . The stock had previously closed at $380.30, but opened at $367.85. MicroStrategy shares last traded at $375.66, with a volume of 3,892,744 shares changing hands.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently commented on MSTR shares. Barclays boosted their price objective on MicroStrategy from $275.00 to $515.00 and gave the stock an “overweight” rating in a research report on Monday, November 25th. Sanford C. Bernstein raised their price objective on shares of MicroStrategy from $290.00 to $600.00 and gave the company an “outperform” rating in a 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 target price for the company. Benchmark raised their price target on MicroStrategy from $450.00 to $650.00 and gave the company a “buy” rating in a research note on Monday, November 25th. Finally, BTIG Research upped their price objective on MicroStrategy from $290.00 to $570.00 and gave the stock a “buy” rating in a research report on Thursday, November 21st. One equities research analyst has rated the stock with a sell rating and eight have given a buy rating to the company’s stock. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $479.25.

MicroStrategy Stock Performance

The firm has a market capitalization of $76.49 billion, a PE ratio of -181.64 and a beta of 3.17. The stock’s 50 day moving average price is $262.97 and its two-hundred day moving average price is $187.26. The company has a current ratio of 0.65, a quick ratio of 0.65 and a debt-to-equity ratio of 1.12.

MicroStrategy (NASDAQ:MSTR) last issued its quarterly earnings results 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 analysts’ expectations of $121.45 million. During the same period in the prior year, the company earned ($8.98) EPS. The company’s revenue for the quarter was down 10.3% compared to the same quarter last year.

Insider Activity at MicroStrategy

In other news, CFO Andrew Kang sold 5,700 shares of the company’s stock in a transaction on Wednesday, November 6th. The shares were sold at an average price of $257.15, for a total value of $1,465,755.00. Following the completion of the transaction, the chief financial officer now directly owns 12,080 shares in the company, valued at approximately $3,106,372. This represents a 32.06 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP Wei-Ming Shao sold 18,000 shares of MicroStrategy 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 sale, 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 position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 102,000 shares of company stock worth $32,259,177. 13.18% of the stock is owned by insiders.

Institutional Trading of MicroStrategy

Several institutional investors have recently added to or reduced their stakes in the business. Geode Capital Management LLC grew its position in shares of MicroStrategy by 990.6% during the 3rd quarter. Geode Capital Management LLC now owns 2,766,283 shares of the software maker’s stock valued at $465,573,000 after buying an additional 2,512,645 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its position in shares of MicroStrategy by 971.3% during the 3rd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 639,707 shares of the software maker’s stock worth $107,855,000 after purchasing an additional 579,994 shares during the period. Charles Schwab Investment Management Inc. lifted its holdings in shares of MicroStrategy by 587.4% in the 3rd quarter. Charles Schwab Investment Management Inc. now owns 664,261 shares of the software maker’s stock worth $111,994,000 after purchasing an additional 567,628 shares during the last quarter. Swiss National Bank boosted its position in MicroStrategy by 904.7% during the 3rd quarter. Swiss National Bank now owns 468,200 shares of the software maker’s stock valued at $78,939,000 after purchasing an additional 421,600 shares during the period. Finally, Sumitomo Mitsui Trust Group Inc. increased its position in MicroStrategy by 1,077.0% in the third quarter. Sumitomo Mitsui Trust Group Inc. now owns 343,164 shares of the software maker’s stock worth $57,857,000 after buying an additional 314,007 shares during the period. Institutional investors own 72.03% of the company’s stock.

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.