Upside case
Bull case
—
The bull case requires both strong earnings delivery and the market pricing STRD more generously than it does today.
Analysis OverviewNo CoverageUpdated —
MicroStrategy Incorporated 10.00% Series A Perpetual Stride Preferred Stock (STRD) Stock Analysis
Wall Street verdict, consensus price target, and analyst rating breakdown — everything needed to frame the risk/reward at today's price.
Analyst consensus
Mixed
Covering
—
analysts
0 bullish · 0 bearish · 0 covering STRD
Strong Buy
0
Buy
0
Hold
0
Sell
0
Strong Sell
0
Consensus Target
—
— vs today
Scenario Range
— – —
Model bear to bull value window
Coverage
—
Published analyst ratings
Valuation Context
1.3x
Forward P/E · Market cap $18.3B
STRD price targets
Three scenarios for where STRD stock could go
Current
~$62
Confidence
49 / 100
Updated
—
Market caseClosest to today
Base case
—
The base case reflects analyst consensus expectations — steady delivery without requiring a major catalyst or re-rating.
Stress case
Bear case
—
The bear case reflects a scenario where earnings shortfalls or multiple compression combine to materially reduce the stock from its current level.
Not financial advice. Model confidence reflects internal scenario assumptions, not a guarantee of returns. Past performance does not predict future results.
MicroStrategy Incorporated 10.00% Series A Perpetual Stride Preferred Stock
STRD · NASDAQFinancial ServicesFinancial - Capital MarketsDecember year-end
MicroStrategy is an enterprise analytics software company that provides AI-powered business intelligence tools to help organizations analyze data and make decisions. The company generates revenue primarily through software licensing and subscription services for its analytics platform, though it has also become known for its significant bitcoin holdings—which represent a separate treasury strategy rather than its core business. Its competitive advantage lies in its established enterprise customer base and deep expertise in business intelligence software, though its bitcoin strategy has become a distinctive—and controversial—aspect of its corporate identity.
Market Cap
$18.3B
Revenue TTM
$477M
Net Income TTM
-$3.8B
Net Margin
-806.3%
STRD Revenue and Earnings Performance
Quarterly beat-or-miss track record against analyst estimates, plus forward revenue and EPS outlook for the next two fiscal years.
EPS Beat Rate
0%Mixed
2 quarters tracked
Revenue Beat Rate
100%Exceptional
vs consensus estimates
Avg EPS Surprise
-28949.9%
above Street consensus
Beat / Miss Record
BeatMissLeft = EPS · Right = Revenue
Q1 2026
Q2 2026
Last 2 Quarters
EPS beats: 0 of 2Q1 2026
EPS
$-42.93/$-0.08
Revenue
$123M/$119M
Q2 2026
EPS
$-38.25/$-0.86
Revenue
$124M/$121M
| Quarter | EPS (Actual / Est) | EPS Surprise | Revenue (Actual / Est) | Rev Surprise |
|---|---|---|---|---|
| Q1 2026 | $-42.93/$-0.08 | -53562.5% | $123M/$119M | +3.2% |
| Q2 2026 | $-38.25/$-0.86 | -4337.4% | $124M/$121M | +2.9% |
FY1–FY2 Estimates
Revenue Outlook
FY1
$489M
+2.5% YoY
FY2
$517M
+5.7% YoY
EPS Outlook
FY1
$-5.83
+55.5% YoY
FY2
$-2.55
+56.3% YoY
Trailing FCF (TTM)-$46M
FCF Margin: -9.6%
Next Earnings
August 4, 2026
Expected EPS
$24.37
Expected Revenue
$123M
STRD beat EPS estimates in 0 of 2 tracked quarters. Mixed delivery makes the upcoming report a key data point for re-rating.
STRD Valuation Snapshot
Current multiples compared to the S&P 500, the company's sector, and its own five-year average.
Relative Value Signal
Limited: Cheap versus peers
Fair value est. $463 — implies +644.4% from today's price.
Upside to Fair Value
644.4%
potential upside
Deep DiscountFair ValueVery Expensive
vs S&P 500 Trailing P/E
STRD
-4.1x
vs
S&P 500
24.4x
117% discount
vs Financial Services Trailing P/E
STRD
-4.1x
vs
Financial Services
13.6x
130% discount
vs STRD 5Y Avg P/E
Today
-4.1x
vs
5Y Average
—
Benchmark unavailable
Forward PE
1.3x
S&P 500
18.8x
-93%
Financial Services
10.7x
-88%
5Y Avg
—
—
Trailing PE
-4.1x
S&P 500
24.4x
-117%
Financial Services
13.6x
-130%
5Y Avg
—
—
PEG Ratio
—
S&P 500
1.66x
—
Financial Services
0.95x
—
5Y Avg
—
—
EV/EBITDA
—
S&P 500
15.2x
—
Financial Services
11.4x
—
5Y Avg
—
—
Price/FCF
—
S&P 500
20.7x
—
Financial Services
11.1x
—
5Y Avg
—
—
Price/Sales
38.3x
S&P 500
3.1x
+1139%
Financial Services
2.3x
+1543%
5Y Avg
44.0x
-13%
Dividend Yield
—
S&P 500
1.91%
—
Financial Services
2.63%
—
5Y Avg
—
—
| Metric | STRD | S&P 500 | Financial Services | 5Y Avg STRD |
|---|---|---|---|---|
| Forward PE | 1.3x | 18.8x-93% | 10.7x-88% | — |
| Trailing PE | -4.1x | 24.4x-117% | 13.6x-130% | — |
| PEG Ratio | — | 1.66x | 0.95x | — |
| EV/EBITDA | — | 15.2x | 11.4x | — |
| Price/FCF | — | 20.7x | 11.1x | — |
| Price/Sales | 38.3x | 3.1x+1139% | 2.3x+1543% | 44.0x-13% |
| Dividend Yield | — | 1.91% | 2.63% | — |
STRD trades above S&P 500 benchmarks on 1 of 3 measured multiples — is elevated on some multiples, but competitive on others — a mixed valuation picture.
Forward P/E and PEG reflect analyst consensus estimates. Historical averages use trailing ratios where forward data is unavailable.S&P 500 and sector benchmarks both use trailing median P/E — similar readings indicate the broader index and sector are priced alike.
Open valuation toolSTRD Financial Health
Verdict
Stressed
STRD generates -8.0% ROE and -6.3% return on assets — the two primary signals for banking profitability. FCF-based metrics are not applicable to financial companies.
Earnings Engine
Revenue, profitability, and return on capital
Revenue (TTM)
Trailing-twelve-month sales base
$477M
Revenue Growth
TTM vs prior year
—
Operating Margin
Operating income divided by revenue
-1956.1%
Net Margin
Net income divided by revenue
-806.3%
EPS (TTM)
Diluted earnings per share, trailing twelve months
$-13.09
ROE
Return on equity — the primary profitability signal for banks
-8.0%
Capital Quality
ROIC, leverage, and debt serviceability
ROIC
Return on invested capital — primary competitive quality signal
-9.6%
ROA
Return on assets, trailing twelve months
-6.3%
Cash & Equivalents
Liquid assets on the balance sheet
$2.3B
Net Debt
Total debt minus cash
$5.9B
FCF Analysis
Traditional FCF and debt/FCF ratios are not meaningful for financial companies. Focus on ROE and ROA above.
ROE
Return on equity — the headline bank profitability metric
-8.0%
Shareholder Returns
How capital is returned to owners
Total shareholder yield
0.0%
Dividend
—
Buyback
0.0%
Share Repurchases
Trailing buyback outflow — dollar magnitude of capital returned
$0
Dividend / Share
Annualized trailing dividend per share
—
Payout Ratio
Share of earnings distributed as dividends
—
Shares Outstanding
Current diluted share count
294M
All figures from the trailing twelve months. For financial companies, ROE and ROA are the primary health signals — FCF-based metrics are not applicable.
Open full ratios pageSTRD Stock Risk Factors
Key factors that could pressure the stock price, compress the multiple, or weigh on future results.
Based on the latest company results, valuation, and market data
Medium
Valuation de-rating
STRD trades at -4.1x trailing earnings versus 24.4x for the S&P 500 and 13.6x for its sector. If earnings delivery or sentiment slips, the stock could re-rate lower and move closer to the bear case target of —.
Medium
Estimate execution
The next fiscal year requires Street estimates of $489M in revenue (2.5% growth) and $-5.83 in EPS. Missing those operating targets would undermine the premium multiple investors are paying today.
Lower
Capital return support
Part of the per-share support comes from capital returns, backed by -$46M in trailing free cash flow, a 0.0% buyback yield. If cash generation softens, the EPS lift and downside cushion from repurchases can narrow.
These are risk mechanisms, not predictions. The key question is which would force a cut to earnings estimates or a lower multiple than the market currently prices in.
Why STRD Stock Could Outperform
Structural drivers behind the upside case and why the stock could outperform over the next 12 months.
Based on recent company results and analyst estimates
High-margin cash engine
MicroStrategy Incorporated 10.00% Series A Perpetual Stride Preferred Stock already operates from a position of scale, with 68.7% gross margin, -1956.1% operating margin, and -$46M in trailing free cash flow. That combination gives management room to keep funding product investment without relying on outside capital.
Multiple growth levers remain
MicroStrategy Incorporated 10.00% Series A Perpetual Stride Preferred Stock still has room to compound if management converts its existing scale into steadier revenue growth and margin discipline. The bull case does not require perfection; it requires the core business to keep translating operating strength into higher per-share earnings.
Upside and capital returns align
Consensus still points to —, while the modeled bull target reaches —. If $489M in forward revenue and $-5.83 in EPS are delivered, ongoing shareholder returns running at 0.0% can amplify the equity upside.
A real bull case compounds — each driver matters most when it strengthens margins, supports capital returns, and keeps the company above the market's minimum growth bar simultaneously.
STRD Stock Price Performance
52-week range context and price returns across multiple time horizons. Dividend contribution is shown separately in the Capital Return section.
Current Price
$62.20
52W Range Position
6%
52-Week Range
Current price plotted between the 52-week low and high.
52-Week Low
$60.11
+3.5% from the low
52-Week High
$96.81
-35.8% from the high
1 Month
-17.31%
3 Month
-15.80%
YTD
-17.7%
1 Year
-28.6%
3Y CAGR
-10.1%
5Y CAGR
-6.2%
10Y CAGR
-3.1%
Range context matters because valuation compression and earnings misses rarely hit from the same starting point. A stock already far below its high can still fall, but it is no longer carrying the same embedded optimism as one pressing a fresh peak.
STRD vs Peers
Valuation, growth, and margin comparison against the closest publicly traded peers for this company.
Peer Set
Accurate peer set
Forward PE
1.3x
vs 2.4x median
-45% below peer median
Revenue Growth
+2.5%
vs +10.4% median
-76% below peer median
Net Margin
-806.3%
vs -146.0% median
-452% below peer median
| Company | Mkt Cap | Fwd PE | Rev Grw | Margin | Rating | Upside |
|---|---|---|---|---|---|---|
STR STRD MicroStrategy Incorporated 10.00% Series A Perpetual Stride Preferred Stock | $18.3B | 1.3x | +2.5% | -806.3% | — | — |
MST MSTR Strategy Inc | $37.6B | 2.4x | +3.1% | -2519.4% | Buy | +123.6% |
SML SMLR Semler Scientific, Inc. | $311M | — | +12.0% | 130.8% | Buy | +148.4% |
BTB BTBT Bit Digital, Inc. | $707M | — | +1.2% | -146.0% | Buy | +176.5% |
MAR MARA Marathon Digital Holdings, Inc. | $5.4B | — | +12.4% | -234.8% | Buy | -12.1% |
RIO RIOT Riot Platforms, Inc. | $10.7B | — | +10.4% | -132.8% | Buy | -3.0% |
This peer comparison reflects companies with similar business models, product lines, or market positioning, supplemented by industry grouping when direct matches are limited.
STRD Dividend and Capital Return
STRD does not currently return meaningful capital to shareholders.
Dividend UnknownFCF Unknown
Total Shareholder Yield
0.0%
Dividend + buyback return per year
Buyback Yield
0.0%
Dividend Yield
—
Payout Ratio
—
Dividend Profile
Yield, cadence, and growth quality
Dividend / Share
Trailing annualized cash dividend
$10.56
Growth Streak
Consecutive years of dividend increases
1Y
3Y Div CAGR
—
5Y Div CAGR
—
Ex-Dividend Date
—
Payment Cadence
Quarterly
4 payments over the last 12 months
Buyback Engine
How much per-share support comes from repurchases
Repurchases (TTM)
Cash used for buybacks in the latest trailing period
$0
Estimated Shares Retired
0
Approx. Share Reduction
0.0%
Shares Outstanding
Current diluted share count from the screening snapshot
294M
| Year | Div / Share | YoY Grw |
|---|---|---|
| 2026 | $5.00 | — |
| 2025 | $5.56 | — |
FAQ
6 questionsSTRD Investor Questions
Common questions answered from live analyst data and company financials.
01Is MicroStrategy Incorporated 10.00% Series A Perpetual Stride Preferred Stock (STRD) stock a buy or sell in 2026?
MicroStrategy Incorporated 10.00% Series A Perpetual Stride Preferred Stock (STRD) has limited published analyst coverage at this time. Use the scenario targets and valuation multiples on this page as a guide.
02Is MicroStrategy Incorporated 10.00% Series A Perpetual Stride Preferred Stock (STRD) stock overvalued in 2026?
STRD trades at 1.3x times forward earnings. The stock currently trades at a discount to the broader market. Based on current multiples versus the peer group, the relative model signals limited: cheap versus peers. Whether the stock is over or undervalued ultimately depends on whether consensus earnings estimates are achievable.
03What are the main risks for MicroStrategy Incorporated 10.00% Series A Perpetual Stride Preferred Stock (STRD) stock in 2026?
The primary risks for STRD in 2026 are: (1) Valuation de-rating — STRD trades at -4. (2) Estimate execution — The next fiscal year requires Street estimates of $489M in revenue (2. (3) Capital return support — Part of the per-share support comes from capital returns, backed by -$46M in trailing free cash flow, a 0. Each factor has the potential to pressure earnings or compress the stock's valuation multiple.
04What is MicroStrategy Incorporated 10.00% Series A Perpetual Stride Preferred Stock's revenue and earnings forecast?
Analyst consensus estimates STRD will report consensus revenue of $489M (+2.5% year-over-year) and EPS of $-5.83 (+55.5% year-over-year) for the upcoming fiscal year. The following year, analysts project $517M in revenue.
05When does MicroStrategy Incorporated 10.00% Series A Perpetual Stride Preferred Stock (STRD) report its next earnings?
MicroStrategy Incorporated 10.00% Series A Perpetual Stride Preferred Stock is expected to report its next earnings on approximately 2026-08-04. Consensus expects EPS of $24.37 and revenue of $123M. Over recent quarters, STRD has beaten EPS estimates 0% of the time.
06How much free cash flow does MicroStrategy Incorporated 10.00% Series A Perpetual Stride Preferred Stock generate?
MicroStrategy Incorporated 10.00% Series A Perpetual Stride Preferred Stock (STRD) had a free cash outflow of $46M in free cash flow over the trailing twelve months — a free cash flow margin of 9.6%. STRD returns capital to shareholders through and share repurchases ($0 TTM).