MicroStrategy (MSTR) is an artificial intelligence (AI)-powered software provider specializing in enterprise analytics and mobility services.
The company serves customers in the retail, banking, manufacturing, telecommunication, healthcare, and consultancy sectors. Founded in 1989, it has expanded throughout North America, Latin America, Africa, Europe, the Middle East, and the Asia-Pacific, with its headquarters in Tysons Corner, Virginia.
About MicroStrategy Stock
MicroStrategy’s stock has had a good start to 2025, gaining more than 10% year to date. The stock has made considerable gains over the years, gaining 1,200% in the last 2 years and about 345% in a year.
Despite the strong performance, it is down 40% from its 52-week high set in November and is down 19% in the last 3 weeks.
MicroStrategy Gets a New Name
MicroStrategy has decided to change its name from MicroStrategy to “Strategy” and declare itself as the world’s first and largest Bitcoin (BTCUSD) Treasure Company. In addition to the name change, it is also changing its logo, which will now include a stylized “B” signifying the company’s Bitcoin strategy while the orange color represents energy, intelligence, and Bitcoin.
MicroStrategy’s CEO Phong Le has called the move powerful and in line with the company’s values and global appeal. Founder and Executive Chairman Michael Saylor remarked that the name “perfectly represents the company’s pursuit of perfection.”
MicroStrategy Posts Fourth-Quarter Results
MicroStrategy announced its fourth-quarter results on Feb. 5. It posted revenue of $120.7 million, down 3% year-over-year, while its subscription services revenue increased 48% to $31.9 million. Its product licenses revenue came in at $47.2 million, up 18.3% YOY. For the fourth quarter, the company suffered a net loss of $670.8 million or $3.03 per adjusted share, much worse than last year’s net profit of $89.1 million or $0.50 per share.
The company had an operating expense of $1.103 billion, a significant 693% increase from the same quarter last year. The increase was mainly because of the heavy impairment loss of $1.006 billion suffered on its digital assets.
It ended 2024 with a cash balance of $38.1 million.
On the full-year front, its revenue totaled $463.5 million, down 6.6% from 2023 while its net loss came to $1.17 billion, down from a profit of $429.1 million in the previous year. On a per-share basis, its net loss came to $6.06, down from a profit of $3.14 per share.
The company revised its annual Bitcoin yield target to 15% for 2025 while announcing the completion of $20 billion of its $42 billion capital plan, also called the 21/21 plan. Announced in 2024, the company plans to raise $21 billion in equity and $21 billion in debt over three years.
Q4 also saw the company’s largest-ever increase in Bitcoin holdings, with an additional 218,887 Bitcoin purchased for $20.5 billion. The company’s carrying amount for its 447,470 BTC is $23.909 billion with a market value of $41.79 billion.
Investors are looking forward to MicroStrategy and Bitcoin’s future, especially with President Donald Trump setting up a crypto-friendly environment.
Should You Buy MSTR?
MSTR stock is highly rated by analysts with a consensus “Strong Buy” rating and a mean price target of $539.40, signifying upside potential of 68% from current market levels.
The stock is being covered by 11 analysts with 10 “Strong Buy” ratings, and one “Moderate Buy” rating.
