MicroStrategy stock: buy or sell

MSTR stock price: $559.81 -2.03% At close on Jan 26th, 2021

Updated on:
Jan 27th, 2021


MicroStrategy stock brief

  • MicroStrategy stock went down -2.03% to close at $559.81 on the stock market on Tuesday.
  • MicroStrategy is presenting its earnings report on Thursday
  • The stock is configuring an uptrend pattern since March 2020, when it bottomed at $90.00. This rally marked a 522.01% gain
  • MicroStrategy Incorporated provides enterprise analytics software and services worldwide.

Should I buy MicroStrategy stock?

All successful traders recommend adhering to a trading strategy and not make decisions based on subjective opinions, rumors or feelings. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best

Is $MSTR stock a buy?

In the current situation of MicroStrategy there is not any eligible buy setup. This doesn't mean $MSTR will slide in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems

Should I sell MicroStrategy stock?

Knowing when to sell a stock is even more difficult than knowing when to buy it. Trading strategies let us to avoid impetuous decisions based on our feelings or the noise that surrounds the market. When selling, as well as buying, detailed setups are very easy to use and are only applicable for selling shares in your porfolio, not for shorting $MSTR stock

As a golden rule, you should never mantain an open trade that produces greater losses than those expected by the time of purchase. When to sell shares always has to be dictated by the stop-loss (automatic or manual)

Is it time to sell MicroStrategy stock?

Currently, MicroStrategy stock doesn't match any of our preferred sell setups, so if you hold MicroStrategy shares and your operation is in profit probably is not time to sell now

MicroStrategy ratings

In the previous month we couldn't find any rating for MicroStrategy

MicroStrategy stock analysis

Since in March 2020, MicroStrategy has been drawing an uptrend that by now marked a gorgeous 522.01%. The price shows higher highs and higher lows, and along the way gave some buy points for those who wanted to invest. Latest pullback was in early December, when price bounced at $274.09. Now, it moves in a consolidation between its last top ($631.60) and its last bottom ($274.09)

SMAs overview

MSTR stock SMAs chart

Supports and resistances

The current resistances are:

  • R1: $631.60 (12.82% above)
  • The current support levels are:

  • S1: $358.94 (-35.88% below)
  • S2: $274.09 (-51.04% below)
  • S3: $226.48 (-59.54% below)
  • Bollinger bands

    Since the price surpassed the upper band on January 14, the price has corrected downwards by 11.37%

    MSTR stock Bollinger Bands chart

    Relative strength index

    The RSI dropped below the overbought level of 70 on January 20 after just crossing to the overbough zone for a single day (weak signal). The RSI value on Tuesday was 62.75. Since that level was lost, MicroStrategy shares tanked a 5.47%

    MSTR stock RSI chart

    MicroStrategy stock price history

    MicroStrategy went public priced at an adjusted price1 of $80.00 on Jun 1998. Since then, MSTR stock has risen by 599.76%, with an average of 27.26% per year. An investment of $1,000USD on the IPO would be valued $6,997.63 today.

    1: Adjusted price after possible price splits or reverse-splits

    MSTR stock price history chart

    Price target for MicroStrategy stock

    How much a stock will be priced tomorrow or next week is quite unpredictable. Banks and financial organisations post their analysis forecasting how a stock will performance in the future.

    Along with buy or sell recommendations, brokerage institutions publish their price target based on the stock price action and the company fundamental data. Most of these estimates follow the release of new financial information by the company, and usually. Again, these forecasts are not direct recommendations for individual investors and must not be followed blindly.

    In the last month we couldn't find any price target published for MicroStrategy stock.

    Earnings and financials

    MicroStrategy ($MSTR) is posting Q4 earnings report on Thursday. Market predicts of $1.62, compared to previous quarter that made $2.06.

    If you hold or you are thinking of buying MicroStrategy shares, you must be aware that financial reporting day usually has a higher than usual volatility, and price can soar and sink with exceptionally low liquidity and not respecting your buy/stop-loss orders. Have a look company's website to confirm time and details about the earnings call and the earnings report.

    MicroStrategy Incorporated ($MSTR) released earnings of $2.06 per share last October, strongly uplifting the Wall St consensus estimate of $0.93 per share. This quarterly report means an earnings surprise of 121.51%. Company's revenue was $127.4 million versus $117.3 million forecasted by market consensus.

    By comparison, the EPS for the same quarter last year was $0.94, so current EPS means a improvement of 119.15%. Looking at turnover, figures moved up a 6.45% compared to $1.2B same quarter 12 months ago.

    MicroStrategy performance

    MSTR performance compared
    MicroStrategy ($MSTR) 66.10% 203.50% 378.20%

    The comments contained in this article are personal and not recommendations for you to buy or sell shares. The author of this article does not have any knowledge of the particular positions of the reader, his or her own financial statements or what is in his or her best interest at any given time. All users should speak with their financial advisor before buying or selling any securities Thoughts are posted for general educational motives only

    MicroStrategy summary

    Tuesday, January 26th, 2021
    Day range$546 - $564.65
    Previous close$571.42
    Session gain-2.03%
    Average true range$75.14
    50d mov avg$363.83
    100d mov avg$261.49
    200d mov avg$192.94
    Earnings dateJanuary 28th, 2021

    Frequently asked questions

    What is MicroStrategy stock symbol?

    MicroStrategy Incorporated is a public company trading in the US stock market with the MSTR symbol

    Is MicroStrategy stock a buy or sell?

    MicroStrategy had no ratings in the last 4 weeks Read the article to get additional tips on trading MSTR stock.

    Will MSTR go up?

    There were no predictions issued by market analysts in the last 30 days for MicroStrategy.