Strategy (NASDAQ:MSTR) Trading Down 3.9% on Analyst Downgrade

Strategy Inc (NASDAQ:MSTR)’s stock price traded down 3.9% during mid-day trading on Tuesday after Citigroup lowered their price target on the stock from $485.00 to $325.00. Citigroup currently has a buy rating on the stock. Strategy traded as low as $156.50 and last traded at $157.88. 15,681,146 shares traded hands during trading, an increase of 3% from the average session volume of 15,241,919 shares. The stock had previously closed at $164.32.

Other equities analysts have also recently issued research reports about the stock. Canaccord Genuity Group upped their price target on shares of Strategy from $464.00 to $474.00 and gave the stock a “buy” rating in a research note on Monday, November 3rd. BTIG Research cut their price target on shares of Strategy from $700.00 to $630.00 and set a “buy” rating on the stock in a report on Friday, October 31st. China Renaissance began coverage on shares of Strategy in a report on Wednesday, October 15th. They issued a “buy” rating and a $473.00 price objective for the company. Wells Fargo & Company reaffirmed an “equal weight” rating and issued a $54.00 price objective (down from $65.00) on shares of Strategy in a research report on Tuesday, September 30th. Finally, HC Wainwright decreased their price target on Strategy from $521.00 to $475.00 and set a “buy” rating for the company in a research note on Monday, November 3rd. One research analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and four have issued a Hold rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $465.13.

Insider Transactions at Strategy

In related news, EVP Wei-Ming Shao sold 30,000 shares of Strategy stock in a transaction on Tuesday, October 7th. The stock was sold at an average price of $357.37, for a total value of $10,721,100.00. Following the completion of the sale, the executive vice president owned 12,726 shares of the company’s stock, valued at $4,547,890.62. The trade was a 70.21% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, Director Jarrod M. Patten bought 12,000 shares of the stock in a transaction on Friday, October 17th. The stock was purchased at an average cost of $96.88 per share, for a total transaction of $1,162,560.00. Following the acquisition, the director owned 29,335 shares of the company’s stock, valued at $2,841,974.80. This trade represents a 69.22% increase in their position. The SEC filing for this purchase provides additional information. In the last ninety days, insiders have bought 24,880 shares of company stock worth $2,421,219 and have sold 43,177 shares worth $13,564,266. Company insiders own 8.46% of the company’s stock.

Strategy News Roundup

Here are the key news stories impacting Strategy this week:

• Positive Sentiment: CEO and management outreach to large U.S. banks highlights growing institutional appetite for Bitcoin services, a structural tailwind if banks roll out related products. Strategy CEO Lifts The Curtain On Bitcoin Talks With Largest US Banks
• Positive Sentiment: Company increased its USD reserve to roughly $2.19–2.2B, a liquidity buffer that management says fortifies the business against a Bitcoin downturn — can reduce short-term funding risk. Saylor’s USD Reserve Hits $2 Billion as Strategy Fortifies Against Bitcoin Winter
• Positive Sentiment: Some outlets note rising institutional demand and argue a recovery could start if institutions rotate back into MSTR after the operational changes. MSTR Stock Recovery Can Begin Anytime as Institutional Demand Jumps
• Neutral Sentiment: Analysts and research note Strategy’s aggressive BTC accumulation earlier in 2025 lifted BTC yield metrics, but question whether that momentum is durable amid the current crypto drawdown. Strategy’s Bitcoin Accretion Continues: Is the Momentum Durable?
• Negative Sentiment: Market reaction to a $748M share sale and the pause on Bitcoin purchases has been negative — investors view the move as dilution and a strategic pivot away from the firm’s core public Bitcoin-accumulation identity. Strategy (MSTR) Stock: Company Raises $748M Cash Reserve, Pauses Bitcoin Buying
• Negative Sentiment: Coverage and headlines point to near-term share weakness (some outlets cite a ~5–6% drop) as the market digests the funding move and BTC’s slide. Why Strategy (MSTR) Is Down 5.7% After Pivoting From Bitcoin Buying To Building A Cash Buffer
• Negative Sentiment: Wall Street caution: at least one note flagged a pessimistic forecast for MSTR, adding analyst pressure on the stock. Citigroup Issues Pessimistic Forecast for Strategy (NASDAQ:MSTR) Stock Price
• Negative Sentiment: Macro and crypto weakness: Bitcoin’s pullback is keeping MSTR near multi‑month lows and raises the risk that company metrics tied to BTC performance remain under pressure. Strategy Stock (MSTR) at 52-Week Low as Bitcoin Continues to Fall
• Negative Sentiment: Technical/valuation warnings from outlets highlight key metrics approaching risk thresholds — another near-term headwind for sentiment. MSTR stock at risk as a key microstrategy metric approaches a negative zone

Institutional Investors Weigh In On Strategy

A number of hedge funds have recently modified their holdings of MSTR. RiverFront Investment Group LLC bought a new stake in Strategy during the 2nd quarter valued at approximately $3,561,000. J.W. Cole Advisors Inc. grew its holdings in Strategy by 25.3% during the 2nd quarter. J.W. Cole Advisors Inc. now owns 10,262 shares of the software maker’s stock valued at $4,148,000 after buying an additional 2,069 shares in the last quarter. Resona Asset Management Co. Ltd. raised its position in shares of Strategy by 13.6% during the second quarter. Resona Asset Management Co. Ltd. now owns 77,914 shares of the software maker’s stock valued at $31,298,000 after buying an additional 9,338 shares during the last quarter. Stevens Capital Management LP purchased a new position in shares of Strategy in the second quarter worth $35,967,000. Finally, Swiss National Bank boosted its position in shares of Strategy by 17.1% during the second quarter. Swiss National Bank now owns 749,300 shares of the software maker’s stock worth $302,890,000 after acquiring an additional 109,500 shares during the last quarter. Institutional investors own 59.84% of the company’s stock.

Strategy Trading Up 0.6%

The stock has a market cap of $45.62 billion, a P/E ratio of 7.38 and a beta of 3.40. The stock’s 50-day moving average is $213.80 and its two-hundred day moving average is $313.85. The company has a debt-to-equity ratio of 0.16, a current ratio of 0.66 and a quick ratio of 0.66.

Strategy (NASDAQ:MSTR) last released its quarterly earnings data on Thursday, October 30th. The software maker reported $8.42 EPS for the quarter, beating the consensus estimate of ($0.10) by $8.52. Strategy had a net margin of 1,667.09% and a return on equity of 20.98%. The business had revenue of $128.69 million during the quarter, compared to the consensus estimate of $116.65 million. During the same quarter in the prior year, the firm earned ($1.56) EPS. The business’s revenue was up 10.9% on a year-over-year basis. Strategy has set its FY 2025 guidance at 80.000-80.000 EPS.

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.