GuruFocus - On June 17, 2024, Andrew Kang, the Senior Executive Vice President & Chief Financial Officer of MicroStrategy Inc (NASDAQ:MSTR), sold 209 shares of the company at a price of $1,441.81 per share. The transaction was documented in an SEC Filing. Following this sale, the insider now owns 1,778 shares of the company.
MicroStrategy Inc (NASDAQ:MSTR) is a provider of enterprise analytics and mobility software and services. The company helps organizations transform their data into real-time actionable insights. MicroStrategy's offerings include software solutions and expert services that empower every individual with actionable intelligence, helping enterprises unleash the full potential of their people and investments.
Over the past year, Andrew Kang has sold a total of 3,959 shares of MicroStrategy Inc and has not made any purchases of the stock. This recent sale is part of a broader trend observed within the company, where there have been 144 insider sells and no insider buys over the past year.
The shares of MicroStrategy Inc were trading at $1,441.81 on the day of the sale, giving the company a market cap of approximately $25.99 billion. This valuation places the stock in the significantly overvalued category according to the GF Value, which is $253.32, indicating a price-to-GF-Value ratio of 5.69.
The GF Value is calculated based on historical 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 past returns and growth, and future business performance estimates from analysts.
This insider sale might be of interest to investors tracking insider behaviors, especially considering the high valuation of the stock relative to its GF Value. Investors often look at insider transactions as one of many indicators to gauge the sentiment of executives and directors towards the company's future prospects.
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.
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