Wall Street analysts rate MicroStrategy (MSTR) as Strong Buy to Buy

From Nasdaq

July 3, 2025 09:30 AM:

Wall Street analysts have rated MicroStrategy (MSTR) with an average brokerage recommendation (ABR) of 1.38, indicating a Strong Buy to Buy sentiment. However, studies show that brokerage recommendations may not always lead to profitable investment decisions due to their positive bias towards stocks they cover.

MicroStrategy’s ABR is based on 13 recommendations, with 11 Strong Buy and one Buy. Analysts tend to issue more favorable ratings due to their employers’ interests, leading to potential misguidance of investors. The Zacks Rank, a proven stock rating tool, provides a reliable indicator of a stock’s near-term price performance based on earnings estimate revisions.

Earnings estimate revisions for MicroStrategy have resulted in a Zacks Rank #3 (Hold) with a consensus estimate of -$15.73 for the current year. This suggests caution despite the Buy-equivalent ABR. The Zacks Rank and ABR differ in their calculation methods and focus, with the former emphasizing earnings estimate revisions for predicting stock price movements.

Investors should consider validating ABR with the Zacks Rank to make informed investment decisions. The Zacks Rank’s focus on earnings estimate revisions provides a more balanced and timely indicator of a stock’s future price performance compared to brokerage recommendations. Make sure to research and analyze data thoroughly before investing in MSTR.

Read more at Nasdaq: Is It Worth Investing in MicroStrategy (MSTR) Based on Wall Street’s Bullish Views?