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

MicroStrategy Incorporated (NASDAQ:MSTR) gapped down before the market opened on Thursday . The stock had previously closed at $358.18, but opened at $350.31. MicroStrategy shares last traded at $343.79, with a volume of 2,459,284 shares.

Analyst Upgrades and Downgrades

Several brokerages recently issued reports on MSTR. Maxim Group boosted their price objective on shares of MicroStrategy from $193.00 to $270.00 and gave the company a “buy” rating in a report on Thursday, October 31st. Benchmark boosted their price target on shares of MicroStrategy from $450.00 to $650.00 and gave the company a “buy” rating in a research note on Monday, November 25th. TD Cowen increased their price objective 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. BTIG Research boosted their target price on MicroStrategy from $290.00 to $570.00 and gave the company a “buy” rating in a research report on Thursday, November 21st. Finally, Sanford C. Bernstein restated an “outperform” rating and set a $600.00 price target on shares of MicroStrategy in a research report on Thursday, December 12th. One investment analyst has rated the stock with a sell rating and eight have given a buy rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $479.25.

MicroStrategy Trading Down 3.2 %

The company’s 50 day simple moving average is $335.46 and its 200 day simple moving average is $214.52. The company has a debt-to-equity ratio of 1.12, a current ratio of 0.65 and a quick ratio of 0.65. The firm has a market cap of $79.08 billion, a price-to-earnings ratio of -156.62 and a beta of 3.17.

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

Insider Buying and Selling

In related news, CAO Jeanine Montgomery sold 56,250 shares of the company’s stock in a transaction that occurred on Wednesday, November 6th. The stock was sold at an average price of $257.41, for a total value of $14,479,312.50. Following the completion of the transaction, the chief accounting officer now directly owns 5,670 shares of the company’s stock, valued at $1,459,514.70. This represents a 90.84 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Stephen X. Graham sold 20,000 shares of the firm’s stock in a transaction that occurred on Thursday, November 21st. The stock was sold at an average price of $451.36, for a total transaction of $9,027,200.00. Following the sale, the director now directly owns 6,970 shares in the company, valued at approximately $3,145,979.20. The trade was a 74.16 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 102,000 shares of company stock worth $32,259,177. Company insiders own 13.18% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the stock. National Bank of Canada FI boosted its stake in MicroStrategy by 746.2% in the third quarter. National Bank of Canada FI now owns 20,647 shares of the software maker’s stock valued at $3,481,000 after acquiring an additional 18,207 shares in the last quarter. B. Riley Wealth Advisors Inc. acquired a new stake in shares of MicroStrategy in the 3rd quarter valued at about $254,000. Wellington Management Group LLP grew its stake in MicroStrategy by 979.8% during the 3rd quarter. Wellington Management Group LLP now owns 6,727 shares of the software maker’s stock worth $1,134,000 after buying an additional 6,104 shares during the last quarter. US Bancorp DE increased its position in MicroStrategy by 782.8% during the third quarter. US Bancorp DE now owns 4,255 shares of the software maker’s stock worth $717,000 after buying an additional 3,773 shares during the period. Finally, Virtu Financial LLC lifted its stake in MicroStrategy by 10,398.4% in the third quarter. Virtu Financial LLC now owns 224,245 shares of the software maker’s stock valued at $37,808,000 after buying an additional 222,109 shares during the last quarter. Institutional investors and hedge funds 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.