MicroStrategy Inc (MSTR) Executive Chairman, 10% Owner Michael Saylor Sells Company Shares
Michael Saylor, Executive Chairman and 10% Owner of MicroStrategy Inc (NASDAQ:MSTR), sold 1,331 shares of the company on March 19, 2024, according to a recent SEC filing. The transaction was executed at an average price of $1,416.13 per share, resulting in a total value of approximately $1,885,000.
MicroStrategy Inc is a provider of enterprise analytics and mobility software. The company develops software that enables organizations to analyze internal and external data to make business decisions and to develop mobile applications. Its core product is MicroStrategy 10, which provides interactive dashboards, scorecards, highly formatted reports, ad hoc query, thresholds and alerts, and automated report distribution.
Over the past year, Michael Saylor has engaged in the sale of 240,000 shares of MicroStrategy Inc and has not purchased any shares. The insider transaction history for the company reveals a pattern of 104 insider sells and no insider buys over the same timeframe.
On the date of the insider's recent sale, shares of MicroStrategy Inc were trading at $1,416.13, giving the company a market capitalization of $26.241 billion. The price-earnings ratio stood at 54.88, which is above the industry median of 28.03 and also exceeds the company's historical median price-earnings ratio.
The stock's price of $1,416.13 compared to the GuruFocus Value of $250.08 indicates a price-to-GF-Value ratio of 5.66, suggesting that MicroStrategy Inc is significantly overvalued according to the GF Value metric.
The GF Value is determined by considering historical trading multiples such as price-earnings ratio, price-sales ratio, price-book ratio, and price-to-free cash flow, along with a GuruFocus adjustment factor based on the company's past returns and growth, and future business performance estimates from Morningstar analysts.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
This article first appeared on GuruFocus.
