MicroStrategy Incorporated

LSE:0A7O Stock Report

Market Cap: US$82.1b

MicroStrategy Valuation

Is 0A7O undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Book vs Peers

  • Price-To-Book vs Industry

  • Price-To-Book vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 0A7O when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
US$38.83
Fair Value
768.8% overvalued intrinsic discount
12
Number of Analysts

Below Fair Value: 0A7O ($337.32) is trading above our estimate of fair value ($38.83)

Significantly Below Fair Value: 0A7O is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0A7O?

Key metric: As 0A7O barely has revenue we use its Price-To-Book Ratio for relative valuation analysis.

The above table shows the Price to Book ratio for 0A7O. This is calculated by dividing 0A7O's market cap by their current book value.
What is 0A7O's PB Ratio?
PB Ratio4.5x
BookUS$18.23b
Market CapUS$82.06b

Price to Book Ratio vs Peers

How does 0A7O's PB Ratio compare to its peers?

The above table shows the PB ratio for 0A7O vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PBEstimated GrowthMarket Cap
Peer Average10.8x
SGE Sage Group
11.9x12.4%UK£13.0b
BYIT Bytes Technology Group
14.3x7.2%UK£1.1b
GBG GB Group
1.5x38.9%UK£891.0m
ALFA Alfa Financial Software Holdings
15.5x7.1%UK£679.0m
0A7O MicroStrategy
4.5x51.7%US$82.1b

Price-To-Book vs Peers: 0A7O is good value based on its Price-To-Book Ratio (4.5x) compared to the peer average (10.8x).

Price to Book Ratio vs Industry

How does 0A7O's PB Ratio compare vs other companies in the GB Software Industry?

8 CompaniesPrice / BookEstimated GrowthMarket Cap
SWG Shearwater Group
0.2x52.1%US$10.04m
RTOP RegTech Open Project
0.3xn/aUS$3.61m
LOOP LoopUp Group
0.04xn/aUS$1.81m
DMTR DeepMatter Group
0.2xn/aUS$1.53m
0A7O 4.5xIndustry Avg. 1.9xNo. of Companies10PB01.63.24.86.48+
8 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Book vs Industry: 0A7O is expensive based on its Price-To-Book Ratio (4.5x) compared to the UK Software industry average (2x).

Price to Book Ratio vs Fair Ratio

What is 0A7O's PB Ratio compared to its Fair PB Ratio? This is the expected PB Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

0A7O PB Ratio vs Fair Ratio.
Fair Ratio
Current PB Ratio4.5x
Fair PB Ration/a

Price-To-Book vs Fair Ratio: Insufficient data to calculate 0A7O's Price-To-Book Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 0A7O forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$337.32
US$520.84
+54.4%
21.2%US$650.00US$212.11n/a12
Feb ’26US$342.56
US$524.10
+53.0%
20.9%US$650.00US$212.11n/a11
Jan ’26US$291.50
US$518.68
+77.9%
22.9%US$650.00US$212.11n/a9
Dec ’25US$387.82
US$492.57
+27.0%
28.7%US$650.00US$212.11n/a9
Nov ’25US$227.59
US$278.47
+22.4%
14.6%US$312.00US$169.21n/a9
Oct ’25US$163.40
US$199.13
+21.9%
17.6%US$289.00US$169.21n/a9
Sep ’25US$130.82
US$201.65
+54.1%
17.5%US$289.00US$169.21n/a8
Aug ’25US$150.94
US$195.98
+29.8%
19.8%US$289.00US$161.27n/a7
Jul ’25US$142.10
US$195.98
+37.9%
19.8%US$289.00US$161.27n/a7
Jun ’25US$151.47
US$175.69
+16.0%
11.8%US$204.70US$145.00n/a5
May ’25US$106.08
US$131.08
+23.6%
41.1%US$187.50US$53.70n/a6
Apr ’25US$173.80
US$103.00
-40.7%
44.6%US$181.00US$53.70n/a6
Mar ’25US$103.80
US$79.42
-23.5%
21.6%US$99.00US$53.70n/a6
Feb ’25US$50.82
US$62.86
+23.7%
15.6%US$79.10US$53.70US$342.565
Jan ’25US$63.05
US$66.95
+6.2%
13.5%US$79.10US$53.70US$291.504
Dec ’24US$52.14
US$54.73
+5.0%
4.0%US$56.50US$51.00US$387.824
Nov ’24US$42.27
US$45.66
+8.0%
22.7%US$52.00US$25.00US$227.595
Oct ’24US$32.60
US$44.86
+37.6%
26.7%US$52.00US$21.00US$163.405
Sep ’24US$34.97
US$44.86
+28.3%
26.7%US$52.00US$21.00US$130.825
Aug ’24US$43.32
US$42.60
-1.7%
27.2%US$52.00US$21.00US$150.945
Jul ’24US$33.69
US$33.67
-0.06%
33.1%US$43.00US$18.00US$142.103
Jun ’24US$30.40
US$33.67
+10.8%
33.1%US$43.00US$18.00US$151.473
May ’24US$32.47
US$33.67
+3.7%
33.1%US$43.00US$18.00US$106.083
Apr ’24US$28.83
US$28.00
-2.9%
42.9%US$40.00US$16.00US$173.802
Mar ’24US$25.62
US$28.00
+9.3%
42.9%US$40.00US$16.00US$103.802
Feb ’24US$24.85
US$25.35
+2.0%
46.7%US$37.20US$13.50US$50.822
Analyst Price Target
Consensus Narrative from 12 Analysts
US$536.37
Fair Value
37.1% undervalued intrinsic discount
12
Number of Analysts

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/02/07 15:27
End of Day Share Price 2025/02/07 00:00
Earnings2024/12/31
Annual Earnings2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

MicroStrategy Incorporated is covered by 29 analysts. 11 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Ishan MajumdarBaptista Research
Ramsey El-AssalBarclays
Mark PalmerBenchmark Company