MicroStrategy (NASDAQ:MSTR) Shares Down 6.6% - Should You Sell?

MicroStrategy Incorporated (NASDAQ:MSTR - Get Free Report) shares dropped 6.6% during trading on Friday . The stock traded as low as $300.11 and last traded at $303.06. Approximately 5,990,502 shares were traded during mid-day trading, a decline of 66% from the average daily volume of 17,827,162 shares. The stock had previously closed at $324.59.

Wall Street Analyst Weigh In

A number of equities research analysts recently weighed in on the company. Cantor Fitzgerald raised their price objective on MicroStrategy from $613.00 to $619.00 and gave the company an "overweight" rating in a research report on Thursday, February 6th. Canaccord Genuity Group decreased their price objective on MicroStrategy from $510.00 to $409.00 and set a "buy" rating for the company in a report on Thursday, February 6th. Sanford C. Bernstein reaffirmed an "outperform" rating and issued a $600.00 price target on shares of MicroStrategy in a report on Thursday, December 12th. Mizuho initiated coverage on MicroStrategy in a research note on Wednesday, January 29th. They set an "outperform" rating and a $515.00 target price for the company. Finally, Compass Point upgraded MicroStrategy to a "strong-buy" rating in a research report on Wednesday, January 29th. One investment analyst has rated the stock with a sell rating, nine have given a buy rating and one has assigned a strong buy rating to the company's stock. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $508.09.

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MicroStrategy Stock Performance

The company has a market cap of $76.82 billion, a price-to-earnings ratio of -52.68 and a beta of 3.36. The stock's fifty day simple moving average is $311.48 and its 200 day simple moving average is $297.16. The company has a current ratio of 0.71, a quick ratio of 0.65 and a debt-to-equity ratio of 0.39.

MicroStrategy (NASDAQ:MSTR - Get Free Report) last posted its earnings results on Wednesday, February 5th. 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 net margin of 251.73% and a negative return on equity of 19.01%.

Insiders Place Their Bets

In related news, Director Leslie J. Rechan sold 15,000 shares of the business's stock in a transaction dated Tuesday, March 25th. The shares were sold at an average price of $335.90, for a total value of $5,038,500.00. Following the sale, the director now directly owns 4,970 shares in the company, valued at approximately $1,669,423. The trade was a 75.11 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, EVP Wei-Ming Shao bought 500 shares of the stock in a transaction on Thursday, March 20th. The shares were bought at an average cost of $85.00 per share, with a total value of $42,500.00. Following the purchase, the executive vice president now owns 500 shares of the company's stock, valued at $42,500. This trade represents a ∞ increase in their ownership of the stock. The disclosure for this purchase can be found here. Over the last quarter, insiders acquired 8,000 shares of company stock valued at $680,000 and sold 22,998 shares valued at $7,671,926. 9.16% of the stock is owned by insiders.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the company. MassMutual Private Wealth & Trust FSB lifted its stake in MicroStrategy by 31.5% during the 1st quarter. MassMutual Private Wealth & Trust FSB now owns 2,740 shares of the software maker's stock worth $790,000 after acquiring an additional 657 shares in the last quarter. Stonehearth Capital Management LLC grew its holdings in shares of MicroStrategy by 10.2% in the first quarter. Stonehearth Capital Management LLC now owns 2,206 shares of the software maker's stock valued at $636,000 after purchasing an additional 204 shares in the last quarter. Mascagni Wealth Management Inc. purchased a new stake in MicroStrategy during the 4th quarter worth approximately $58,000. Objective Capital Management LLC acquired a new stake in MicroStrategy during the 4th quarter worth approximately $222,000. Finally, 111 Capital purchased a new position in MicroStrategy in the 4th quarter valued at approximately $907,000. 59.84% of the stock is currently owned by institutional investors and hedge funds.

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.