Insiders at MicroStrategy bought then sold shares, concerns over high debt, dilution, and short interest.

From Nasdaq

April 07, 2025 11:43 am:

Strategy, formerly MicroStrategy, saw insiders buy shares in late Q1 before selling days later. Concerns arise over the use of share-based compensation, high insider ownership, and increased debt and dilution. The company bought over $3 billion in Bitcoin in March, raising its digital hoard to over 528,000 BTC.

Insiders and institutions provide support for MSTR stock, with analysts forecasting a 75% upside in early April. Short-sellers pose a potential headwind due to high short interest. Strategy’s stock price is tied to BTC, facing pressure from a cash-flow-negative business model, rising debt, and short interest.

Strategy’s stock price has pulled back from Q1 highs, tied to BTC’s correction. The stock may retest support at $235 and potentially fall lower due to business structure and short interest. Analysts forecast negative earnings in the upcoming report, with a potential return to $150 level. The next catalyst is the FQ1 earnings report in late April.

Read more at Nasdaq.: MicroStrategy Sees Insider Buy-Sell Action in Q1