MicroStrategy (NASDAQ:MSTR) Shares Gap Down - Here's Why

MicroStrategy Incorporated (NASDAQ:MSTR) recently saw its stock price gap down as the market opened on Tuesday. The stock had closed the previous day at $282.76 but started trading at $268.10. As of the last trade, shares were priced at $253.32, with a trading volume of 4,675,132 shares.

Wall Street Analysts Forecast Growth

Several research analysts have provided insights on MSTR shares. Mizuho recently began coverage on MicroStrategy, issuing an "outperform" rating with a price target of $515.00. Cantor Fitzgerald adjusted their price target from $613.00 to $619.00, giving the stock an "overweight" rating. Similarly, Maxim Group raised their price target from $480.00 to $500.00 with a "buy" recommendation. Additionally, BTIG Research upped their target from $290.00 to $570.00 and also rated the stock as a "buy." Moreover, Compass Point has upgraded MicroStrategy to a "strong-buy" rating. Of the analysts covering the stock, one has a sell rating, while nine hold a buy rating and one holds a strong buy. The consensus rating for the stock is currently categorized as "Moderate Buy," with an average price target of $536.90.

MicroStrategy Stock Performance

MicroStrategy has a current debt-to-equity ratio of 0.39, a current ratio of 0.71, and a quick ratio of 0.65. The company boasts a market capitalization of $57.53 billion and a price-to-earnings ratio of -42.61 with a beta of 3.25. The fifty-day moving average price stands at $333.62, while the two-hundred-day moving average price is approximately $270.58.

Institutional Investors Weigh In On MicroStrategy

Several institutional investors and hedge funds have adjusted their stakes in MicroStrategy. For example, Geode Capital Management LLC has increased their position by 10.2%, owning 3,047,625 shares worth $881,470,000 after acquiring an additional 281,342 shares. Norges Bank has made a sizable investment of about $523,981,000, while Northern Trust Corp boosted its stake by 24.4%, now owning 1,076,185 shares valued at $311,685,000. UBS Asset Management has also increased their position by 25.4%, owning 802,464 shares worth $232,410,000. Another notable investor, Charles Schwab Investment Management Inc., raised their stake by 14.7%, now holding 761,776 shares valued at roughly $220,626,000. In total, about 59.84% of the stock is owned by institutional investors and hedge funds.

MicroStrategy Company Profile

MicroStrategy Incorporated specializes in providing enterprise analytics software and services powered by artificial intelligence across the globe, including regions such as the United States, Europe, the Middle East, and Africa. Their offerings include MicroStrategy ONE, which allows non-technical users to access actionable insights for decision-making, as well as MicroStrategy Cloud for Government, which features continuous threat monitoring tailored for governmental and financial institutions.

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