MicroStrategy Incorporated Target Price vs. Revenue
| STRC Stock | USD 99.15 0.19 0.19% |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.87 | 0.7206 |
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For MicroStrategy Incorporated profitability analysis, we use financial ratios and fundamental drivers that measure the ability of MicroStrategy Incorporated to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well MicroStrategy Incorporated Variable utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between MicroStrategy Incorporated's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of MicroStrategy Incorporated Variable over time as well as its relative position and ranking within its peers.
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Is Software - Application space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of MicroStrategy Incorporated. If investors know MicroStrategy will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about MicroStrategy Incorporated listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of MicroStrategy Incorporated is measured differently than its book value, which is the value of MicroStrategy that is recorded on the company's balance sheet. Investors also form their own opinion of MicroStrategy Incorporated's value that differs from its market value or its book value, called intrinsic value, which is MicroStrategy Incorporated's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because MicroStrategy Incorporated's market value can be influenced by many factors that don't directly affect MicroStrategy Incorporated's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between MicroStrategy Incorporated's value and its price as these two are different measures arrived at by different means. Investors typically determine if MicroStrategy Incorporated is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, MicroStrategy Incorporated's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
MicroStrategy Incorporated Revenue vs. Target Price Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining MicroStrategy Incorporated's current stock value. Our valuation model uses many indicators to compare MicroStrategy Incorporated value to that of its competitors to determine the firm's financial worth. MicroStrategy Incorporated Variable is rated below average in target price category among its peers. It also is rated below average in revenue category among its peers totaling about 463,456,000 of Revenue per Target Price. At present, MicroStrategy Incorporated's Total Revenue is projected to increase significantly based on the last few years of reporting. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the MicroStrategy Incorporated's earnings, one of the primary drivers of an investment's value.MicroStrategy Revenue vs. Target Price
MicroStrategy Incorporated | = | 1.0 |
Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
MicroStrategy Incorporated |
| = | 463.46 M |
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include products or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
MicroStrategy Revenue vs Competition
MicroStrategy Incorporated Variable is rated below average in revenue category among its peers. Market size based on revenue of Information Technology industry is at this time estimated at about 266.51 Billion. MicroStrategy Incorporated adds roughly 463.46 Million in revenue claiming only tiny portion of equities under Information Technology industry.
MicroStrategy Incorporated Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in MicroStrategy Incorporated, profitability is also one of the essential criteria for including it into their portfolios because, without profit, MicroStrategy Incorporated will eventually generate negative long term returns. The profitability progress is the general direction of MicroStrategy Incorporated's change in net profit over the period of time. It can combine multiple indicators of MicroStrategy Incorporated, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | -15.4 M | -14.6 M | |
| Operating Income | -1.9 B | -1.8 B | |
| Total Other Income Expense Net | -81.4 M | -77.3 M | |
| Net Loss | -1.2 B | -1.1 B | |
| Income Before Tax | -1.9 B | -1.8 B | |
| Income Tax Expense | -767.7 M | -729.3 M | |
| Net Interest Income | -61.9 M | -65 M | |
| Net Loss | -1.2 B | -1.2 B | |
| Net Loss | (6.06) | (5.76) | |
| Income Quality | 0.05 | 0.04 | |
| Net Income Per E B T | 0.60 | 0.89 |
MicroStrategy Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on MicroStrategy Incorporated. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of MicroStrategy Incorporated position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the MicroStrategy Incorporated's important profitability drivers and their relationship over time.
Use MicroStrategy Incorporated in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if MicroStrategy Incorporated position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in MicroStrategy Incorporated will appreciate offsetting losses from the drop in the long position's value.MicroStrategy Incorporated Pair Trading
MicroStrategy Incorporated Variable Pair Trading Analysis
The ability to find closely correlated positions to MicroStrategy Incorporated could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace MicroStrategy Incorporated when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back MicroStrategy Incorporated - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling MicroStrategy Incorporated Variable to buy it.
The correlation of MicroStrategy Incorporated is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as MicroStrategy Incorporated moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if MicroStrategy Incorporated moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for MicroStrategy Incorporated can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your MicroStrategy Incorporated position
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Check out World Market Map. For information on how to trade MicroStrategy Stock refer to our How to Trade MicroStrategy Stock guide.You can also try the Economic Indicators module to top statistical indicators that provide insights into how an economy is performing.
To fully project MicroStrategy Incorporated's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of MicroStrategy Incorporated at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include MicroStrategy Incorporated's income statement, its balance sheet, and the statement of cash flows.