Strategy (NASDAQ:MSTR) Stock Rating Lowered by Zacks Research

Strategy (NASDAQ:MSTR) was downgraded by investment analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a research report issued on Tuesday,Zacks.com reports.

Several other analysts have also issued reports on the stock. Truist Financial set a $268.00 target price on shares of Strategy in a research note on Friday, January 9th. Weiss Ratings restated a “hold (c)” rating on shares of Strategy in a report on Friday, March 27th. Canaccord Genuity Group set a $185.00 price objective on shares of Strategy and gave the stock a “buy” rating in a research report on Wednesday, February 4th. Sanford C. Bernstein set a $450.00 price objective on shares of Strategy and gave the company an “outperform” rating in a research note on Monday, December 8th. Finally, BTIG Research reissued a “buy” rating on shares of Strategy in a research report on Wednesday. One analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and five have assigned a Hold rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $368.21.

Strategy Stock Down 1.5%

Shares of NASDAQ:MSTR traded down $1.92 during mid-day trading on Tuesday, hitting $126.38. 1,865,556 shares of the company traded hands, compared to its average volume of 21,965,203. The stock has a market cap of $42.18 billion, a P/E ratio of -6.85 and a beta of 3.55. The company has a current ratio of 5.62, a quick ratio of 5.62 and a debt-to-equity ratio of 0.18. Strategy has a 12-month low of $104.17 and a 12-month high of $457.22. The stock has a 50-day moving average price of $132.85 and a two-hundred day moving average price of $190.47.

Strategy (NASDAQ:MSTR) last released its quarterly earnings results on Thursday, February 5th. The software maker reported ($42.93) EPS for the quarter, missing analysts’ consensus estimates of $46.02 by ($88.95). Strategy had a negative net margin of 806.34% and a negative return on equity of 8.74%. The company had revenue of $122.99 million during the quarter, compared to analysts’ expectations of $117.42 million. During the same period in the previous year, the company posted ($3.03) earnings per share. The company’s quarterly revenue was up 1.9% compared to the same quarter last year.

Insiders Place Their Bets

In other Strategy news, CAO Jeanine Montgomery sold 470 shares of the business’s stock in a transaction on Tuesday, March 24th. The stock was sold at an average price of $138.33, for a total value of $65,015.10. Following the sale, the chief accounting officer directly owned 10,423 shares in the company, valued at $1,441,813.59. The trade was a 4.31% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, CEO Phong Le sold 3,299 shares of the company’s stock in a transaction on Tuesday, March 24th. The shares were sold at an average price of $138.33, for a total value of $456,350.67. Following the transaction, the chief executive officer directly owned 22,923 shares in the company, valued at $3,170,938.59. This represents a 12.58% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders bought 8,509 shares of company stock valued at $1,128,827 and sold 10,052 shares valued at $1,375,602. Corporate insiders own 8.46% of the company’s stock.

Hedge Funds Weigh In On Strategy

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Binnacle Investments Inc lifted its stake in shares of Strategy by 492.9% during the 2nd quarter. Binnacle Investments Inc now owns 83 shares of the software maker’s stock valued at $34,000 after buying an additional 69 shares in the last quarter. AllSquare Wealth Management LLC raised its holdings in Strategy by 100.0% during the 2nd quarter. AllSquare Wealth Management LLC now owns 100 shares of the software maker’s stock valued at $40,000 after acquiring an additional 50 shares during the period. Pilgrim Partners Asia Pte Ltd bought a new stake in Strategy during the 3rd quarter valued at $32,000. Quent Capital LLC purchased a new stake in shares of Strategy during the third quarter worth $33,000. Finally, Salomon & Ludwin LLC bought a new position in shares of Strategy in the third quarter worth $39,000. Institutional investors own 59.84% of the company’s stock.

Key Stories Impacting Strategy

Here are the key news stories impacting Strategy this week:

• Positive Sentiment: Bitcoin rally lifts sentiment — headlines point to BTC moving back above key levels after a tentative cease‑fire and other catalysts, which tends to drive demand for Strategy shares given its large BTC treasury. Bitcoin Surges Above $70,000
• Positive Sentiment: Company resuming buys — reports say Strategy made a ~$330M Bitcoin purchase recently and bought 44,377 BTC in March, confirming management is using capital markets to grow its treasury (bullish for future asset appreciation and STRC activity). Strategy Resumes Bitcoin Buying With $330 Million Purchase Bitcoin Treasuries Report: Strategy Buys 44,377 BTC in March
• Positive Sentiment: STRC product momentum — coverage highlights Strategy’s new STRC digital credit product reaching a $5B milestone and setting trading volume records, which supports non‑treasury revenue potential and investor optimism. Strategy’s New Product Grew Faster Than The iPhone And Google Ads Combined MSTR Stock Price Outlook — CEO Calls $5B STRC Milestone an “iPhone Moment”
• Neutral Sentiment: Analyst/market debate on sustainability — some analysts and commentaries applaud the capital strategy but flag reliance on funding and BTC momentum, making upside contingent on continued crypto strength. Strategy’s Capital Strategy Drives BTC Growth: Is Upside Sustainable?
• Negative Sentiment: Large unrealized losses remain a drag — coverage notes roughly $14.5B of paper losses on the BTC portfolio in Q1, which increases volatility in reported equity and could pressure the stock if BTC weakens. Strategy Bitcoin Portfolio Bleeds Red with $14.46 Billion Paper Loss
• Negative Sentiment: Rating change increases near‑term caution — Zacks downgraded Strategy from “strong‑buy” to “hold,” which can weigh on investor sentiment and reduce buying from ratings‑sensitive funds. Zacks

About Strategy

Strategy, formerly known as MicroStrategy, Incorporated (NASDAQ: MSTR) is a global provider of enterprise analytics and mobility software. The company’s flagship platform offers business intelligence, data discovery, and advanced visualizations that enable organizations to analyze large volumes of data and deliver actionable insights. In addition to traditional on-premises deployments, Strategy provides a range of cloud-based services and managed offerings that allow customers to leverage the power of its analytics tools without managing complex infrastructure.

Founded in 1989 by Michael J.