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Here is What to Know Beyond Why MicroStrategy Incorporated (MSTR) is a Trending Stock

  • 02.06.2025 21:05
  • msn.com
  • Keywords: Stock Performance, Earnings Estimate, Revenue Growth, Valuation

MicroStrategy (MSTR) stock is trending as investors consider its earnings estimates and revenue growth. Despite recent losses, projections suggest modest gains, with Zacks Rank assigning a 'Hold' rating for near-term performance.

MicroStrategy ReportsBXMXsentiment_neutral
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Estimated market influence

MicroStrategy (MSTR)

Negativesentiment_dissatisfied
Analyst rating: N/A

Stock has returned -6.4% over the past month, underperforming Zacks S&P 500 composite (+6.1%) and the Zacks Computer - Software industry (13.2%).

Zacks

Neutralsentiment_neutral
Analyst rating: N/A

Provides stock analysis and consensus estimates for MicroStrategy. Zacks Rank #3 (Hold) suggests the stock may perform in line with broader market.

S&P 500

S&P 500

Neutralsentiment_neutral
Analyst rating: —

Used as a benchmark for stock performance.

Context

Analysis of MicroStrategy Incorporated (MSTR) Stock Performance and Market Implications

Stock Performance

  • Recent Return: MSTR shares have returned -6.4% over the past month.
  • Market Comparison: The Zacks S&P 500 composite has gained +6.1%, and the Zacks Computer - Software industry has increased by 13.2% over the same period.

Earnings Estimates

  • Current Quarter (Q1 2024):
    • EPS estimate: $-0.12 (up +84.2% YoY).
    • No change in the Zacks Consensus Estimate over the last 30 days.
  • Fiscal Year 2024:
    • EPS estimate: $-0.41 (up +93.9% YoY).
    • No change in the Zacks Consensus Estimate over the last 30 days.
  • Fiscal Year 2025:
    • EPS estimate: $-0.44 (down -7.3% YoY).
    • No change in the Zacks Consensus Estimate over the last 30 days.

Revenue Growth

  • Current Quarter (Q1 2024):
    • Revenue estimate: $112.15 million (up +0.6% YoY).
  • Fiscal Year 2024:
    • Revenue estimate: $466.5 million (up +0.7% YoY).
  • Fiscal Year 2025:
    • Revenue estimate: $484.8 million (up +3.9% YoY).

Last Reported Results and Surprise History

  • Q4 2023:
    • Revenues: $111.07 million (down -3.6% YoY).
    • EPS: $-16.49 (down from -$0.83 YoY).
    • Revenue surprise: -4.01% (missed estimate of $115.7 million).
    • EPS surprise: -16,390% (missed estimate of -$0.83).
  • Recent Track Record: MSTR has failed to beat consensus EPS and revenue estimates in all of the last four quarters.

Valuation

  • Zacks Value Style Score: MSTR received an F, indicating it is trading at a premium compared to its peers.

Conclusion

  • Zacks Rank: MSTR has a Zacks Rank #3 (Hold), suggesting it may perform in line with the broader market in the near term.
  • Key Takeaway: While MSTR's stock is trending, its recent earnings and revenue performance, along with its valuation, raises concerns about its short-term prospects.

This analysis highlights the critical factors influencing MSTR's stock performance and provides insights into its market position and potential future trajectory.