MicroStrategy (NASDAQ:MSTR) Stock Price Down 2.1% After Earnings Miss

MicroStrategy Incorporated (NASDAQ:MSTR - Get Free Report) shares dropped 2.1% during mid-day trading on Wednesday following a weaker than expected earnings announcement. The stock traded as low as $340.16 and last traded at $340.96. Approximately 2,918,263 shares were traded during mid-day trading, a decline of 84% from the average daily volume of 18,110,059 shares. The stock had previously closed at $348.31.

The software maker reported ($3.20) earnings per share for the quarter, missing the consensus estimate of ($0.13) by ($3.07). MicroStrategy had a negative return on equity of 19.01% and a negative net margin of 251.73%.

Wall Street Analysts Forecast Growth

A number of brokerages recently commented on MSTR. Sanford C. Bernstein reiterated an "outperform" rating and set a $600.00 price target on shares of MicroStrategy in a report on Thursday, December 12th. Maxim Group boosted their price target on shares of MicroStrategy from $480.00 to $500.00 and gave the stock a "buy" rating in a report on Thursday. Cantor Fitzgerald raised their price objective on shares of MicroStrategy from $613.00 to $619.00 and gave the stock an "overweight" rating in a report on Thursday. Barclays boosted their target price on shares of MicroStrategy from $275.00 to $515.00 and gave the company an "overweight" rating in a research note on Monday, November 25th. Finally, TD Cowen raised their price target on shares of MicroStrategy from $392.00 to $525.00 and gave the stock a "buy" rating in a research note on Monday, November 25th. One analyst has rated the stock with a sell rating, nine have issued a buy rating and one has given a strong buy rating to the company's stock. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $546.30.

Insider Buying and Selling

In other MicroStrategy news, CAO Jeanine Montgomery sold 752 shares of the firm's stock in a transaction on Thursday, November 14th. The shares were sold at an average price of $322.45, for a total value of $242,482.40. Following the completion of the transaction, the chief accounting officer now directly owns 6,418 shares of the company's stock, valued at $2,069,484.10. This trade represents a 10.49 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Stephen X. Graham sold 20,000 shares of the business's stock in a transaction on Thursday, November 21st. The shares were sold at an average price of $451.36, for a total transaction of $9,027,200.00. Following the transaction, the director now owns 6,970 shares of the company's stock, valued at $3,145,979.20. This trade represents a 74.16 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders have sold 40,050 shares of company stock valued at $16,314,110. Corporate insiders own 9.16% of the company's stock.

Institutional Trading of MicroStrategy

Several institutional investors and hedge funds have recently modified their holdings of MSTR. Geode Capital Management LLC raised its stake in MicroStrategy by 990.6% in the third quarter. Geode Capital Management LLC now owns 2,766,283 shares of the software maker's stock valued at $465,573,000 after purchasing an additional 2,512,645 shares in 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 valued at $107,855,000 after buying an additional 579,994 shares in the last quarter. Charles Schwab Investment Management Inc. lifted its holdings in shares of MicroStrategy by 587.4% during the 3rd quarter. Charles Schwab Investment Management Inc. now owns 664,261 shares of the software maker's stock worth $111,994,000 after acquiring an additional 567,628 shares during the last quarter. Swiss National Bank grew its position in MicroStrategy by 904.7% in the third quarter. Swiss National Bank now owns 468,200 shares of the software maker's stock worth $78,939,000 after acquiring an additional 421,600 shares in the last quarter. Finally, Amundi raised its position in MicroStrategy by 262.8% during the fourth quarter. Amundi now owns 570,217 shares of the software maker's stock valued at $165,146,000 after purchasing an additional 413,028 shares in the last quarter. Hedge funds and other institutional investors own 59.84% of the company's stock.

MicroStrategy Stock Performance

The company has a 50 day simple moving average of $355.07 and a 200-day simple moving average of $256.11. The company has a debt-to-equity ratio of 0.39, a current ratio of 0.71 and a quick ratio of 0.65. The stock has a market cap of $78.50 billion, a P/E ratio of -58.15 and a beta of 3.25.

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.