Strategy (NASDAQ:MSTR) Posts Earnings Results

Strategy (NASDAQ:MSTR) released its earnings results on Thursday. The software maker reported ($42.93) earnings per share (EPS) for the quarter, missing the consensus estimate of $46.02 by ($88.95), Zacks reports. Strategy had a negative net margin of 806.34% and a negative return on equity of 8.74%. The business had revenue of $122.99 million for the quarter, compared to analysts’ expectations of $117.42 million. During the same quarter in the previous year, the business posted ($3.03) earnings per share. Strategy’s revenue for the quarter was up 1.9% on a year-over-year basis.

Here are the key takeaways from Strategy’s conference call:

• 713,502 Bitcoin on the balance sheet (about 3.4% of total supply) after adding ~225,000 BTC in 2025, underscoring continued disciplined accumulation and Strategy’s position as the largest corporate Bitcoin holder.
• Reported a Q4 operating loss of $17.4 billion and net loss of $12.6 billion (full-year net loss $4.2 billion), driven by mark-to-market accounting on Bitcoin which produced large quarterly volatility in results.
• Strengthened liquidity and credit profile in 2025 via >$25 billion raised (including $6.9 billion of preferreds), an S&P B?minus issuer rating, and a newly established $2.25 billion USD cash reserve that covers ~2.5 years of dividend obligations.
• Launched and scaled flagship digital?credit product “Stretch” (Nasdaq?listed) — paid monthly, target price $100, ~11.25% dividend yield, ~7% volatility and deep trading liquidity — positioned to attract fixed?income investors and stabilize company funding.
• Long?term strategy centers on issuing digital credit to “amplify” common equity and grow Bitcoin?per?share (management models show scenarios to roughly double or more Bitcoin per share over seven years), making BTC accumulation + digital credit the company’s core growth thesis.

Strategy Stock Performance

Shares of NASDAQ MSTR opened at $134.93 on Friday. The firm’s 50-day moving average price is $162.28 and its 200-day moving average price is $260.22. Strategy has a 52-week low of $104.17 and a 52-week high of $457.22. The company has a market cap of $38.77 billion, a PE ratio of -7.33 and a beta of 3.54. The company has a quick ratio of 0.66, a current ratio of 0.66 and a debt-to-equity ratio of 0.16.

Wall Street Analysts Forecast Growth

A number of research analysts have issued reports on MSTR shares. HC Wainwright reiterated a “buy” rating on shares of Strategy in a research note on Friday. Wall Street Zen upgraded Strategy from a “sell” rating to a “hold” rating in a report on Saturday, January 31st. China Renaissance began coverage on shares of Strategy in a research note on Wednesday, October 15th. They issued a “buy” rating and a $473.00 price target on the stock. Canaccord Genuity Group set a $185.00 price objective on shares of Strategy and gave the company a “buy” rating in a research note on Wednesday. Finally, Truist Financial set a $268.00 target price on shares of Strategy in a report on Friday, January 9th. Eleven investment analysts have rated the stock with a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $374.14.

More Strategy News

Here are the key news stories impacting Strategy this week:

• Positive Sentiment: Bitcoin recovery and renewed analyst support lifted buying interest — TD Cowen kept a Buy rating and its $440 target, and headlines tied MSTR’s move to a BTC bounce. ‘No Reasonable Scenario’ Forces Strategy To Sell Bitcoin As $440 Target Stands: TD Cowen
• Positive Sentiment: Underlying software/subscriptions revenue beat consensus — Q4 revenue rose ~1.9% and subscription/license growth was noted, a constructive datapoint for the non?Bitcoin business. Strategy Q4 Earnings Miss Estimates, Revenues Increase Y/Y (Zacks)
• Positive Sentiment: Balance?sheet size and liquidity signals — company now reports ~713,502 BTC and has raised large amounts of capital, which some investors view as financial firepower to ride out volatility. Strategy Inc Reports 713,502 BTC Holdings Amid $12.4 Billion Quarterly Loss (Blockonomi)
• Neutral Sentiment: Analyst views remain split — some firms cut price targets (Canaccord trimmed its target earlier) but several bullish analysts still defend the long?term thesis, leaving consensus divergent. Strategy Stock: Analyst Slashes Target 60% Yet Keeps Buy Rating
• Neutral Sentiment: Company is tweaking shareholder frameworks (dividend rules, capital plans) announced alongside results — these are structural but their market effect depends on execution. Strategy Updates Dividend Framework and Highlights Bitcoin Expansion
• Negative Sentiment: Huge Q4 unrealized Bitcoin losses produced a blockbuster accounting hit (reported ~ $12–17B in Q4), driving a wide EPS miss and renewed fear of downside when BTC falls. That remains the primary negative for the equity. Saylor?led Strategy’s quarterly losses widen as bitcoin faces another reckoning (Reuters)
• Negative Sentiment: Leverage/liquidity risk from debt?funded BTC purchases and vocal short sellers/critics raise the chance of forced sells or margin stress if Bitcoin moves sharply lower again. Market commentary highlights this as an ongoing tail risk. Strategy Earnings Reveal the Real Risk Behind MSTR Stock (MarketBeat)

Insider Activity

In related news, Director Carl J. Rickertsen acquired 5,000 shares of the stock in a transaction that occurred on Monday, January 12th. The shares were bought at an average price of $155.88 per share, for a total transaction of $779,400.00. Following the completion of the transaction, the director directly owned 5,000 shares in the company, valued at approximately $779,400. This trade represents a ? increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Jane A. Dietze bought 1,100 shares of the business’s stock in a transaction on Friday, November 21st. The stock was bought at an average cost of $95.28 per share, with a total value of $104,808.00. Following the transaction, the director owned 2,600 shares in the company, valued at $247,728. This trade represents a 73.33% increase in their position. The disclosure for this purchase is available in the SEC filing. Over the last three months, insiders purchased 7,112 shares of company stock valued at $984,888 and sold 13,177 shares valued at $2,843,166. 8.46% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of MSTR. State Street Corp grew its stake in shares of Strategy by 9.2% during the 3rd quarter. State Street Corp now owns 5,989,048 shares of the software maker’s stock valued at $1,929,731,000 after purchasing an additional 504,479 shares during the period. Invesco Ltd. boosted its holdings in shares of Strategy by 13.9% in the third quarter. Invesco Ltd. now owns 1,593,085 shares of the software maker’s stock worth $513,308,000 after buying an additional 194,987 shares during the last quarter. Northern Trust Corp boosted its holdings in shares of Strategy by 5.5% in the third quarter. Northern Trust Corp now owns 1,570,323 shares of the software maker’s stock worth $505,974,000 after buying an additional 82,248 shares during the last quarter. California State Teachers Retirement System grew its position in Strategy by 6.2% during the third quarter. California State Teachers Retirement System now owns 411,981 shares of the software maker’s stock valued at $132,744,000 after buying an additional 24,071 shares during the period. Finally, CANADA LIFE ASSURANCE Co increased its holdings in Strategy by 43.5% during the third quarter. CANADA LIFE ASSURANCE Co now owns 139,034 shares of the software maker’s stock valued at $45,373,000 after buying an additional 42,145 shares during the last quarter. Institutional investors own 59.84% of the company’s stock.

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.