STRATEGY INC - MSTR 8 PERP (STRK) Stock Fundamental Analysis
USA - NASDAQ:STRK - US5949728878
88.4 USD
+0.42 (+0.48%)
Taking everything into account, STRK scores 4 out of 10 in our fundamental rating. STRK was compared to 285 industry peers in the Software industry. While STRK is still in line with the averages on profitability rating, there are concerns on its financial health. STRK is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year STRK was profitable.
STRK had a negative operating cash flow in the past year.
In the past 5 years STRK reported 4 times negative net income.
Of the past 5 years STRK 4 years had a positive operating cash flow.
1.2 Ratios
STRK has a better Return On Assets (7.31%) than 79.30% of its industry peers.
STRK's Return On Equity of 9.40% is fine compared to the rest of the industry. STRK outperforms 76.49% of its industry peers.
STRK has a Return On Invested Capital of 9.90%. This is amongst the best in the industry. STRK outperforms 85.26% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.31% | ||
| ROE | 9.4% | ||
| ROIC | 9.9% |
ROA(3y)-18.83%
ROA(5y)-14.41%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 1023.69%, STRK belongs to the top of the industry, outperforming 99.30% of the companies in the same industry.
The Operating Margin of STRK (1747.64%) is better than 99.65% of its industry peers.
STRK has a Gross Margin (70.10%) which is comparable to the rest of the industry.
STRK's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1747.64% | ||
| PM (TTM) | 1023.69% | ||
| GM | 70.1% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.22%
GM growth 5Y-1.93%
2. Health
2.1 Basic Checks
STRK has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for STRK has been increased compared to 1 year ago.
STRK has more shares outstanding than it did 5 years ago.
STRK has a better debt/assets ratio than last year.
2.2 Solvency
STRK has an Altman-Z score of 1.83. This is not the best score and indicates that STRK is in the grey zone with still only limited risk for bankruptcy at the moment.
STRK has a Altman-Z score (1.83) which is comparable to the rest of the industry.
STRK has a Debt/Equity ratio of 0.16. This is a healthy value indicating a solid balance between debt and equity.
STRK has a Debt to Equity ratio of 0.16. This is comparable to the rest of the industry: STRK outperforms 49.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.83 |
ROIC/WACC0.97
WACC10.24%
2.3 Liquidity
A Current Ratio of 0.68 indicates that STRK may have some problems paying its short term obligations.
STRK has a worse Current ratio (0.68) than 85.26% of its industry peers.
STRK has a Quick Ratio of 0.68. This is a bad value and indicates that STRK is not financially healthy enough and could expect problems in meeting its short term obligations.
STRK has a Quick ratio of 0.68. This is amonst the worse of the industry: STRK underperforms 85.26% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.68 |
3. Growth
3.1 Past
STRK shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 2065.44%, which is quite impressive.
The Revenue has decreased by -3.81% in the past year.
The Revenue has been decreasing by -0.96% on average over the past years.
EPS 1Y (TTM)2065.44%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%5779.44%
Revenue 1Y (TTM)-3.81%
Revenue growth 3Y-3.19%
Revenue growth 5Y-0.96%
Sales Q2Q%2.73%
3.2 Future
STRK is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 104.44% yearly.
The Revenue is expected to decrease by -0.79% on average over the next years.
EPS Next Y296.98%
EPS Next 2Y91.04%
EPS Next 3Y104.44%
EPS Next 5YN/A
Revenue Next Year-1.83%
Revenue Next 2Y1.19%
Revenue Next 3Y-1.78%
Revenue Next 5Y-0.79%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 2.59, the valuation of STRK can be described as very cheap.
Compared to the rest of the industry, the Price/Earnings ratio of STRK indicates a rather cheap valuation: STRK is cheaper than 97.19% of the companies listed in the same industry.
STRK's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.83.
The Price/Forward Earnings ratio is 8.35, which indicates a very decent valuation of STRK.
STRK's Price/Forward Earnings ratio is rather cheap when compared to the industry. STRK is cheaper than 94.39% of the companies in the same industry.
STRK is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.82, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 2.59 | ||
| Fwd PE | 8.35 |
4.2 Price Multiples
STRK's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. STRK is cheaper than 97.89% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 4.13 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
STRK's earnings are expected to grow with 104.44% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.01
PEG (5Y)N/A
EPS Next 2Y91.04%
EPS Next 3Y104.44%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.99%, STRK is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 36.72, STRK pays a better dividend. On top of this STRK pays more dividend than 98.60% of the companies listed in the same industry.
STRK's Dividend Yield is rather good when compared to the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.99% |
5.2 History
STRK does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y91.04%
EPS Next 3Y104.44%
NASDAQ:STRK (10/23/2025, 8:00:01 PM)
88.4
+0.42 (+0.48%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners54.59%
Inst Owner ChangeN/A
Ins Owners0.17%
Ins Owner ChangeN/A
Market Cap25.38B
Revenue(TTM)462.32M
Net Income(TTM)4.73B
Analysts80
Price Target160.09 (81.1%)
Short Float %0.05%
Short Ratio0.51
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.99% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)20431.8%
Min EPS beat(2)5928.88%
Max EPS beat(2)34934.6%
EPS beat(4)2
Avg EPS beat(4)8888.46%
Min EPS beat(4)-4213.73%
Max EPS beat(4)34934.6%
EPS beat(8)3
Avg EPS beat(8)4019.14%
EPS beat(12)5
Avg EPS beat(12)-6119.95%
EPS beat(16)7
Avg EPS beat(16)-4695.93%
Revenue beat(2)0
Avg Revenue beat(2)-3.32%
Min Revenue beat(2)-6%
Max Revenue beat(2)-0.64%
Revenue beat(4)0
Avg Revenue beat(4)-4.46%
Min Revenue beat(4)-7.22%
Max Revenue beat(4)-0.64%
Revenue beat(8)1
Avg Revenue beat(8)-5.46%
Revenue beat(12)2
Avg Revenue beat(12)-4.4%
Revenue beat(16)2
Avg Revenue beat(16)-4.15%
PT rev (1m)2.58%
PT rev (3m)15.63%
EPS NQ rev (1m)0%
EPS NQ rev (3m)7513.23%
EPS NY rev (1m)0%
EPS NY rev (3m)176.87%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.67%
Revenue NY rev (1m)-0.18%
Revenue NY rev (3m)-0.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 2.59 | ||
| Fwd PE | 8.35 | ||
| P/S | 54.9 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.5 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.13 |
EPS(TTM)34.12
EY38.6%
EPS(NY)10.59
Fwd EY11.98%
FCF(TTM)-119.02
FCFYN/A
OCF(TTM)-0.33
OCFYN/A
SpS1.61
BVpS175.44
TBVpS-48.73
PEG (NY)0.01
PEG (5Y)N/A
Graham Number367
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.31% | ||
| ROE | 9.4% | ||
| ROCE | 12.53% | ||
| ROIC | 9.9% | ||
| ROICexc | 9.91% | ||
| ROICexgc | 13891.1% | ||
| OM | 1747.64% | ||
| PM (TTM) | 1023.69% | ||
| GM | 70.1% | ||
| FCFM | N/A |
ROA(3y)-18.83%
ROA(5y)-14.41%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.22%
GM growth 5Y-1.93%
F-Score4
Asset Turnover0.01
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.01 | ||
| Cap/Depr | 85616% | ||
| Cap/Sales | 7370.63% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.68 | ||
| Altman-Z | 1.83 |
F-Score4
WACC10.24%
ROIC/WACC0.97
Cap/Depr(3y)33259.4%
Cap/Depr(5y)26278.5%
Cap/Sales(3y)1735.12%
Cap/Sales(5y)1190.98%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)2065.44%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%5779.44%
EPS Next Y296.98%
EPS Next 2Y91.04%
EPS Next 3Y104.44%
EPS Next 5YN/A
Revenue 1Y (TTM)-3.81%
Revenue growth 3Y-3.19%
Revenue growth 5Y-0.96%
Sales Q2Q%2.73%
Revenue Next Year-1.83%
Revenue Next 2Y1.19%
Revenue Next 3Y-1.78%
Revenue Next 5Y-0.79%
EBIT growth 1Y29493.6%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year580.57%
EBIT Next 3Y81.44%
EBIT Next 5YN/A
FCF growth 1Y-5676.81%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-13048.8%
OCF growth 3YN/A
OCF growth 5YN/A
STRATEGY INC - MSTR 8 PERP / STRK FAQ
What is the ChartMill fundamental rating of STRATEGY INC - MSTR 8 PERP (STRK) stock?
ChartMill assigns a fundamental rating of 4 / 10 to STRK.
What is the valuation status of STRATEGY INC - MSTR 8 PERP (STRK) stock?
ChartMill assigns a valuation rating of 7 / 10 to STRATEGY INC - MSTR 8 PERP (STRK). This can be considered as Undervalued.
What is the profitability of STRK stock?
STRATEGY INC - MSTR 8 PERP (STRK) has a profitability rating of 4 / 10.
What are the PE and PB ratios of STRATEGY INC - MSTR 8 PERP (STRK) stock?
The Price/Earnings (PE) ratio for STRATEGY INC - MSTR 8 PERP (STRK) is 2.59 and the Price/Book (PB) ratio is 0.5.
What is the expected EPS growth for STRATEGY INC - MSTR 8 PERP (STRK) stock?
The Earnings per Share (EPS) of STRATEGY INC - MSTR 8 PERP (STRK) is expected to grow by 296.98% in the next year.