Strategy IncMSTR
NASDAQ • Technology
$178.90
P/E
—
PEG
—
FCF Yield
—
Rev Growth YoY
+11.9% YoY
Gross Margin
67.1%
Health Score
5/10
D/E Ratio
0.16
Confidence
—
Business Snapshot
Strategy Inc operates in the enterprise software market, providing analytics and business intelligence solutions. Its financial results, however, are unusually dominated by the impact of its substantial bitcoin holdings, leading to massive net income swings. With TTM revenue of approximately $490 million, the company is a mid-cap player in the software space. The defining characteristic is its bitcoin treasury strategy, which makes traditional valuation metrics less meaningful.
Financial Health
Gross margin improved slightly to 67.1% from 66.1% in the prior year. Net margin is flagged as unreliable due to a data error and thus cannot be used as a profitability gauge...
Risk Assessment
- VALUATION — Price/Sales of 127.55x indicates extreme valuation premium relative to revenue, even for a software company.
- EARNINGS QUALITY — Net margin is flagged as unreliable due to a data error (-2482.0% outside plausible range); earnings are deeply negative and driven by non-operating items.
- REVENUE DECELERATION — QoQ revenue growth of 1.1% lags behind the 11.9% YoY growth, suggesting a slowing trend.
- 52-WEEK POSITION — At $178.9, the stock trades 61% below its 52-week high of $457.22 and below the midpoint of the range, indicating significant downward price momentum.
- TECHNICALS — RSI, MACD, and moving average data unavailable for this period; momentum cannot be independently confirmed.
- FCF / CASH BURN — Free cash flow was negative -$104.24M over the trailing twelve months, indicating the company is burning cash....