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

Shares of Strategy Inc (NASDAQ:MSTR) were 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. Approximately 15,681,146 shares were traded during mid-day trading, an increase of 3% from the average daily volume of 15,241,919 shares. The stock had previously closed at $164.32.

Several other research analysts have also recently weighed in on the company. Weiss Ratings reissued a “hold (c+)” rating on shares of Strategy in a research report on Monday, December 15th. HC Wainwright cut their price target on shares of Strategy from $521.00 to $475.00 and set a “buy” rating on the stock in a report on Monday, November 3rd. Benchmark restated a “buy” rating on shares of Strategy in a report on Monday, December 1st. TD Cowen dropped their target price on shares of Strategy from $620.00 to $535.00 and set a “buy” rating on the stock in a research note on Friday, October 31st. Finally, Monness Crespi & Hardt raised shares of Strategy from a “sell” rating to a “neutral” rating in a research report on Monday, November 10th. One analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and four have issued a Hold rating to the company’s stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $465.13.

Insider Buying and Selling at Strategy

In other news, Director Jane A. Dietze purchased 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 transaction, the director directly owned 2,600 shares of the company’s stock, valued at approximately $247,728. This trade represents a 73.33% increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Jarrod M. Patten acquired 12,000 shares of the stock in a transaction that occurred on Friday, October 17th. The stock was acquired at an average price of $96.88 per share, for a total transaction of $1,162,560.00. Following the transaction, the director directly owned 29,335 shares of the company’s stock, valued at $2,841,974.80. This represents a 69.22% increase in their position. The disclosure for this purchase is available in the SEC filing. In the last three months, insiders bought 24,880 shares of company stock valued at $2,421,219 and sold 43,177 shares valued at $13,564,266. Insiders own 8.46% of the company’s stock.

Key Headlines Impacting Strategy

Here are the key news stories impacting Strategy this week:

• Positive Sentiment: Institutional demand is reportedly rising, which analysts say could support a recovery in MSTR shares if buying persists. MSTR Stock Recovery Can Begin Anytime as Institutional Demand Jumps
• Positive Sentiment: Zacks notes Strategy accelerated Bitcoin accumulation in 2025 and boosted its BTC yield to ~26%; regulatory clarity and new credit access are cited as tailwinds to bitcoin-related returns. That suggests the company’s bitcoin strategy can still generate strong underlying NAV accretion over time. Strategy’s Bitcoin Accretion Continues
• Positive Sentiment: CEO commentary highlights large banks building bitcoin services — a potential structural tailwind for Strategy’s business model and broader institutional adoption of BTC. Strategy CEO Says Big Banks Are Scrambling To Build Bitcoin Services
• Positive Sentiment: Strategy raised roughly $748M in an ATM offering, boosting its USD reserves to about $2.19–$2.2B — increasing liquidity and giving the company flexibility to weather crypto volatility. That cash buffer reduces short?term solvency risk. Strategy Raises $748M in Cash
• Neutral Sentiment: Multiple outlets report the company is temporarily pausing Bitcoin buys while it rebalances — this is a tactical move that preserves liquidity but pauses NAV growth from new bitcoin accumulation. Impact depends on BTC price path and timing of resumed buys. Strategy Pauses Bitcoin Purchases
• Negative Sentiment: The ATM share sale that produced the $748M proceeds increases share count (near-term dilution) and some investors see equity issuance plus no BTC purchases this week as bearish for the stock’s immediate momentum. Strategy Sells $748M In Stock But Buys Zero BTC
• Negative Sentiment: Analyst adjustments: Citigroup trimmed its price target (though it kept a buy rating), a reminder some sell?side views are lowering near?term expectations after 2025 share weakness. That can put pressure on sentiment until clarity returns. Citigroup Lowers Price Target

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the business. Norges Bank bought a new stake in Strategy during the second quarter valued at approximately $1,203,062,000. Amundi lifted its holdings in shares of Strategy by 378.9% during the 2nd quarter. Amundi now owns 1,783,982 shares of the software maker’s stock worth $717,660,000 after acquiring an additional 1,411,500 shares during the last quarter. Vanguard Group Inc. grew its position in Strategy by 7.3% in the third quarter. Vanguard Group Inc. now owns 19,884,275 shares of the software maker’s stock worth $6,406,912,000 after acquiring an additional 1,344,519 shares in the last quarter. Capital Research Global Investors grew its position in Strategy by 33.6% in the third quarter. Capital Research Global Investors now owns 4,205,258 shares of the software maker’s stock worth $1,354,982,000 after acquiring an additional 1,057,804 shares in the last quarter. Finally, Harvest Portfolios Group Inc. increased its stake in Strategy by 119.0% in the third quarter. Harvest Portfolios Group Inc. now owns 1,550,520 shares of the software maker’s stock valued at $499,593,000 after acquiring an additional 842,480 shares during the last quarter. Hedge funds and other institutional investors own 59.84% of the company’s stock.

Strategy Stock Down 3.9%

The company has a quick ratio of 0.66, a current ratio of 0.66 and a debt-to-equity ratio of 0.16. The stock has a 50-day simple moving average of $219.42 and a two-hundred day simple moving average of $316.47. The firm has a market cap of $45.37 billion, a PE ratio of 7.34 and a beta of 3.40.

Strategy (NASDAQ:MSTR) last posted its quarterly earnings data on Thursday, October 30th. The software maker reported $8.42 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.10) by $8.52. The firm had revenue of $128.69 million during the quarter, compared to analysts’ expectations of $116.65 million. Strategy had a return on equity of 20.98% and a net margin of 1,667.09%.The company’s revenue for the quarter was up 10.9% compared to the same quarter last year. During the same period in the prior year, the business earned ($1.56) EPS. 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.