Why MicroStrategy Stock Is Down Today

MicroStrategy Incorporated MSTR shares are trading flat Friday after the company announced pricing of its offering of convertible senior notes.

The Details:

MicroStrategy announced the pricing of its offering of $525 million aggregate principal amount of 0.875% convertible senior notes due 2031. The company also granted an option to purchase up to an additional $78.75 million aggregate principal amount of the notes. 

The offering was upsized from the previously announced offering of $500 million aggregate principal amount of notes and is expected to close on March 18, subject to satisfaction of customary closing conditions. 

MicroStrategy intends to use the proceeds from the sale of the notes to acquire additional Bitcoin and for general corporate purposes.

As of March 10, MicroStrategy held an aggregate of approximately 205,000 bitcoins at an average purchase price of approximately $33,706 per coin.

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MSTR Stock Prediction 2024:

Equity research can be a valuable source of information for learning about a company's fundamentals. Analysts create financial models based on the fundamentals and expected future earnings of a company to arrive at a price target and recommendation for the stock.

Shares of MicroStrategy have an average 1-year price target of $1,387.00, representing an expected downside of 14.73%.

Because of differences in assumptions, analysts can arrive at very different price targets and recommendations. No analysts have bearish recommendations on MicroStrategy, while 3 analysts have bullish ratings. The street high price target from Canaccord Genuity is $1,810, while the street low from Canaccord Genuity is $791.

MSTR Price Action: According to Benzinga Pro, MicroStrategy shares are up 0.49% at $1,685.09 at the time of publication.

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