Stock Traders Buy Large Volume of Strategy Call Options (NASDAQ:MSTR)

by · The Cerbat Gem

Strategy Inc (NASDAQ:MSTR – Get Free Report) was the target of some unusual options trading activity on Friday. Stock traders acquired 736,850 call options on the company. This is an increase of approximately 35% compared to the average daily volume of 546,927 call options.

Wall Street Analyst Weigh In

MSTR has been the topic of a number of analyst reports. Weiss Ratings restated a “hold (c)” rating on shares of Strategy in a research report on Wednesday, October 8th. Wells Fargo & Company reiterated an “equal weight” rating and set a $54.00 price objective (down previously from $65.00) on shares of Strategy in a research note on Tuesday, September 30th. Benchmark reiterated a “buy” rating on shares of Strategy in a research note on Monday. HC Wainwright decreased their price objective on shares of Strategy from $521.00 to $475.00 and set a “buy” rating for the company in a report on Monday, November 3rd. Finally, Mizuho lifted their price target on shares of Strategy from $563.00 to $586.00 and gave the stock an “outperform” rating in a research note on Monday, August 11th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and four have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $485.80.

Check Out Our Latest Analysis on Strategy

Insider Buying and Selling

In other Strategy news, EVP Wei-Ming Shao sold 2,600 shares of Strategy stock in a transaction dated Wednesday, November 19th. The stock was sold at an average price of $202.02, for a total transaction of $525,252.00. Following the transaction, the executive vice president directly owned 32,726 shares of the company’s stock, valued at approximately $6,611,306.52. The trade was a 7.36% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Jane A. Dietze acquired 1,100 shares of Strategy stock in a transaction dated Friday, November 21st. The stock was purchased at an average cost of $95.28 per share, for a total transaction of $104,808.00. Following the completion of the purchase, the director owned 2,600 shares in the company, valued at approximately $247,728. The trade was a 73.33% increase in their position. The disclosure for this purchase is available in the SEC filing. Over the last quarter, insiders have purchased 37,380 shares of company stock worth $3,632,719 and have sold 53,177 shares worth $17,122,166. 8.46% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of MSTR. Vanguard Group Inc. raised its holdings in shares of Strategy by 7.3% during the third quarter. Vanguard Group Inc. now owns 19,884,275 shares of the software maker’s stock valued at $6,406,912,000 after acquiring an additional 1,344,519 shares during the last quarter. Capital International Investors boosted its holdings in Strategy by 2.6% in the 3rd quarter. Capital International Investors now owns 15,014,295 shares of the software maker’s stock valued at $4,837,778,000 after purchasing an additional 383,207 shares during the last quarter. State Street Corp increased its stake in Strategy by 9.2% during the third quarter. State Street Corp now owns 5,989,048 shares of the software maker’s stock worth $1,929,731,000 after acquiring an additional 504,479 shares during the last quarter. Capital Research Global Investors raised its holdings in Strategy by 33.6% in the 3rd quarter. Capital Research Global Investors now owns 4,205,258 shares of the software maker’s stock valued at $1,354,982,000 after buying an additional 1,057,804 shares during the period. Finally, Norges Bank purchased a new position in shares of Strategy during the 2nd quarter worth approximately $1,203,062,000. 59.84% of the stock is currently owned by hedge funds and other institutional investors.

Strategy Trading Down 3.8%

MSTR traded down $7.02 during trading hours on Friday, reaching $178.99. 20,550,385 shares of the company’s stock traded hands, compared to its average volume of 15,014,391. The firm has a 50-day moving average price of $257.15 and a 200 day moving average price of $334.83. The firm has a market capitalization of $51.43 billion, a PE ratio of 8.33 and a beta of 3.40. The company has a quick ratio of 0.66, a current ratio of 0.66 and a debt-to-equity ratio of 0.16. Strategy has a 52-week low of $155.61 and a 52-week high of $457.22.

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

About Strategy

(Get Free Report)

Strategy Incorporated, formerly known as MicroStrategy, provides artificial intelligence-powered enterprise analytics software and services in the United States, Europe, the Middle East, Africa, and internationally. It offers Strategy ONE, a platform that allows non-technical users to access novel and actionable insights for decision-making, and Strategy Cloud for Government, which provides always-on threat monitoring designed to meet the strict technical and regulatory standards of governments and financial institutions.

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