Strategy (MSTR) Stock Slides as Market Rises: Facts to Know Before You Trade

Core Insights - Strategy (MSTR) closed at $158.24, down 1.33% from the previous day, underperforming the S&P 500's gain of 0.79% [1] - Over the past month, shares of Strategy have decreased by 14.01%, contrasting with the Finance sector's gain of 4.09% and the S&P 500's gain of 0.87% [1] Earnings Expectations - The upcoming earnings disclosure is anticipated to show an EPS of $46.02, representing a significant increase of 1538.13% year-over-year [2] - Revenue is expected to be $119.6 million, reflecting a slight decline of 0.91% from the prior-year quarter [2] Annual Forecast - For the entire year, earnings are projected at $78.04 per share and revenue at $473.1 million, indicating increases of 1261.31% and 2.08% respectively compared to the previous year [3] - Recent adjustments to analyst estimates suggest a positive outlook for the business and profitability [3] Valuation Metrics - Strategy is currently trading at a Forward P/E ratio of 2.06, significantly lower than the industry average of 12.24, indicating a potential discount [6] - The Financial - Miscellaneous Services industry, part of the Finance sector, holds a Zacks Industry Rank of 78, placing it in the top 32% of over 250 industries [6] Zacks Rank System - The Zacks Rank system, which ranges from 1 (Strong Buy) to 5 (Strong Sell), has a strong track record, with 1 stocks averaging a 25% annual return since 1988 [5] - Strategy currently holds a Zacks Rank of 3 (Hold), with no changes in the EPS estimate over the last 30 days [5]