Authors Note: It's hard to ignore that MSTR just bought another $2 Billion of Bitcoin.
Summary
MicroStrategy (MSTR) has shown exceptional price appreciation, gaining 95.15% since the Trend Seeker buy signal on 9/24, driven by strong technical indicators.
The company offers AI-powered enterprise analytics software and services, including MicroStrategy ONE and MicroStrategy Cloud for Government, and is heavily involved in Bitcoin development.
Barchart's technical indicators show 100% buy signals, a 506.21% gain in the last year, and a 45.19% increase in the last month.
Despite strong buy signals, analysts have mixed ratings, with Wall Street analysts giving 8 strong buy opinions, but Value Line and MorningStar providing average to below-average ratings.
The Chart of the Day belongs to AI and Bitcoin investor MicroStrategy (MSTR) . I found the stock by using Barchart's powerful screening functions to find stocks with the highest technical buy signals, highest Weighted Alpha, superior current momentum and having a Trend Seeker buy signal then used the Flipchart feature to review the charts for consistent price appreciation. Since the Trend Seeker signaled a buy on 9/24 the stock gained 95.15%.
MSTR Pri ce vs Daily Moving Averages
MicroStrategy Incorporated provides artificial intelligence-powered enterprise analytics software and services in the United States, Europe, the Middle East, Africa, and internationally. It offers MicroStrategy ONE, which provides non-technical users with the ability to directly access novel and actionable insights for decision-making; and MicroStrategy Cloud for Government service, which offers always-on threat monitoring that meets the rigorous technical and regulatory needs of governments and financial institutions. The company also provides MicroStrategy Support that helps customers achieve their system availability and usage goals through highly responsive troubleshooting and assistance; MicroStrategy Consulting, which provides architecture and implementation services to help customers realize their desired results; and MicroStrategy Education that offers free and paid learning options. In addition, it engages in the development of bitcoin. The company offers its services through direct sales force and channel partners. It serves the U.S. government, state and local governments, and government agencies, as well as a range of industries, including retail, banking, technology, manufacturing, insurance, consulting, healthcare, telecommunications, and the public sector. The company was incorporated in 1989 and is headquartered in Tysons Corner, Virginia.
Barchart's Opinion Trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 20 minutes and can therefore change during the day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report.
Barchart Technical Indicators:
- 100% technical buy signals
- 259.50+ Weighted Alpha
- 506.21% gain in the last year
- Trend Seeker buy signal
- 3.05 - 60 month Beta
- Above its 20, 50 and 100 day moving averages
- 7 new highs and up 45.19% in the last month
- Relative Strength Index 77.60%
- Technical support level at $262.22
- Recently traded at $318.26 with 50 day moving average of $186.76
Fundamental Factors:
- Market Cap $94.80 billion
- Revenue expected to grow another 2.20% next year
- Earnings are estimated to increase an additional 61.30% next year and continue to compound at an annual rate of 10.00% for the next 5 years
Analysts and Investor Sentiment -- I don't buy stocks because everyone else is buying but I do realize that if major firms and investors are dumping a stock it's hard to make money swimming against the tide:
- Wall Street analyst gave 8 strong buy opinions on the stock
- Analysts' price targets are between $187 and $300
- Value Line rates the stock it's average 3 rating and comments:"MicroStrategy, Inc. is committed to the continued development of the bitcoin network through activities in the financial markets, advocacy and technology innovation. As an operating business, the firm is able to use cash flows as well as proceeds from equity and debt financings to accumulate bitcoin, which serves as its primary treasury reserve asset."
- CFRAs MarketScope rates the stock a strong sell
- MorningStar gives the stock its below average rating of 2 with a Fair Value of $
- 37,540 investors monitor the stock on Seeking Alpha
Additional disclosure: The Barchart Chart of the Day or 37% over valuedhighlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance and reevaluate your stop losses at least on a weekly basis.
On the date of publication, Jim Van Meerten did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
