STRATEGY INC - MSTR 8 PERP (STRK) Stock Fundamental Analysis
NASDAQ:STRK - US5949728878
95.7 USD
+0.25 (+0.26%)
STRK gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 282 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 has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year STRK was profitable.
In the past year STRK has reported a negative cash flow from operations.
In the past 5 years STRK reported 4 times negative net income.
STRK had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
STRK's Return On Assets of 7.31% is fine compared to the rest of the industry. STRK outperforms 78.72% of its industry peers.
STRK's Return On Equity of 9.40% is fine compared to the rest of the industry. STRK outperforms 76.60% of its industry peers.
STRK has a better Return On Invested Capital (9.90%) than 85.11% 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 99.29% of the companies in the same industry.
With an excellent Operating Margin value of 1747.64%, STRK belongs to the best of the industry, outperforming 99.65% of the companies in the same industry.
STRK has a Gross Margin (70.10%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of STRK has declined.
| 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), STRK is destroying value.
STRK has more shares outstanding than it did 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
An Altman-Z score of 1.90 indicates that STRK is not a great score, but indicates only limited risk for bankruptcy at the moment.
STRK's Altman-Z score of 1.90 is in line compared to the rest of the industry. STRK outperforms 45.74% of its industry peers.
A Debt/Equity ratio of 0.16 indicates that STRK is not too dependend on debt financing.
STRK has a Debt to Equity ratio (0.16) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.9 |
ROIC/WACC0.94
WACC10.52%
2.3 Liquidity
STRK has a Current 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 Current ratio of 0.68. This is amonst the worse of the industry: STRK underperforms 84.04% 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's Quick ratio of 0.68 is on the low side compared to the rest of the industry. STRK is outperformed by 84.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.68 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 2065.44% over the past year.
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 60.49% yearly.
The Revenue is expected to decrease by -0.79% on average over the next years.
EPS Next Y-155.56%
EPS Next 2Y39.16%
EPS Next 3Y60.49%
EPS Next 5YN/A
Revenue Next Year-1.73%
Revenue Next 2Y0.6%
Revenue Next 3Y0.21%
Revenue Next 5Y-0.79%
3.3 Evolution
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 2.80 indicates a rather cheap valuation of STRK.
Compared to the rest of the industry, the Price/Earnings ratio of STRK indicates a rather cheap valuation: STRK is cheaper than 97.52% of the companies listed in the same industry.
STRK is valuated cheaply when we compare the Price/Earnings ratio to 27.14, which is the current average of the S&P500 Index.
The Forward Price/Earnings Ratio is negative for STRK. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 2.8 | ||
| Fwd PE | N/A |
4.2 Price Multiples
97.52% of the companies in the same industry are more expensive than STRK, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 4.33 |
4.3 Compensation for Growth
A more expensive valuation may be justified as STRK's earnings are expected to grow with 60.49% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y39.16%
EPS Next 3Y60.49%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.36%, STRK has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 52.87, STRK pays a better dividend. On top of this STRK pays more dividend than 97.87% of the companies listed in the same industry.
STRK's Dividend Yield is a higher than the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.36% |
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 2Y39.16%
EPS Next 3Y60.49%
NASDAQ:STRK (8/28/2025, 10:08:09 AM)
95.7
+0.25 (+0.26%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners49.35%
Inst Owner ChangeN/A
Ins Owners0.18%
Ins Owner ChangeN/A
Market Cap27.14B
Analysts80
Price Target147.82 (54.46%)
Short Float %0.12%
Short Ratio0.98
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.36% |
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)10.39%
PT rev (3m)36.64%
EPS NQ rev (1m)-3.19%
EPS NQ rev (3m)12%
EPS NY rev (1m)0.27%
EPS NY rev (3m)-3655.28%
Revenue NQ rev (1m)0.35%
Revenue NQ rev (3m)-1.33%
Revenue NY rev (1m)-0.47%
Revenue NY rev (3m)-1.8%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 2.8 | ||
| Fwd PE | N/A | ||
| P/S | 58.69 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.54 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.33 |
EPS(TTM)34.12
EY35.65%
EPS(NY)-0.41
Fwd EYN/A
FCF(TTM)-120.51
FCFYN/A
OCF(TTM)-0.34
OCFYN/A
SpS1.63
BVpS177.64
TBVpS-49.35
PEG (NY)N/A
PEG (5Y)N/A
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
ROICexcg growth 3YN/A
ROICexcg 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 | 1.9 |
F-Score4
WACC10.52%
ROIC/WACC0.94
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 Y-155.56%
EPS Next 2Y39.16%
EPS Next 3Y60.49%
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-1.73%
Revenue Next 2Y0.6%
Revenue Next 3Y0.21%
Revenue Next 5Y-0.79%
EBIT growth 1Y29493.6%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year103.67%
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