To The Moon

Market Forecast For Strategy (MSTR)

For the current quarter, Strategy’s revenue is forecast at USD 118.48 million, with year-over-year change of -3.87%, estimated EBIT at USD 6.75 billion with estimated YoY growth of 467.83% and EPS at USD 24.81 with estimated YoY growth of 331.73%; margin guidance implies resilience but potential volatility. The main business is centered on product licenses and subscription services, product support, and other services, with the most promising segment expected to be product licenses and subscription services given its scale; product licenses and subscription services contributed USD 63.35 million last quarter, while product support contributed USD 51.12 million, and other services contributed USD 14.23 million.

Last Quarter Review

Strategy’s last quarter reported revenue was USD 128.69 million, gross profit margin was 70.46%, GAAP net profit attributable to the parent company was USD 2.79 billion, net profit margin was 2,164.12%, and adjusted EPS was USD 8.42; year-over-year growth rates were positive for revenue at 10.87% and adjusted EPS at 5.90%, while net profit rose sharply, with quarter-on-quarter net profit change at -72.21%. The quarter’s key highlight was strong EBIT performance, with actual EBIT at USD 3.89 billion, outpacing estimates by USD 0.22 billion, implying large non-operating impacts as well as operating leverage. Main business highlights included product licenses and subscription services revenue of USD 63.35 million and product support revenue of USD 51.12 million, while other services added USD 14.23 million, indicating stable core software-related streams with mixed YoY growth.

Current Quarter Outlook

Main Business: Product Licenses and Subscription Services

The product licenses and subscription services segment remains the core revenue driver, contributing USD 63.35 million last quarter. This unit’s performance provides visibility into recurring software demand and pricing dynamics, and typically anchors overall revenue predictability. For the current quarter, a modest sequential moderation is implied by the total revenue forecast of USD 118.48 million, but underlying subscription renewal patterns and cross-sell into support should maintain continuity. With gross profit margin previously at 70.46%, unit economics support robust contribution even under a softer top line, and management’s continuity in licensing terms and bundled services often cushions volatility.

Most Promising Business: Product Support

Product support at USD 51.12 million last quarter demonstrates consistent tie-in to licenses and subscriptions, serving as a dependable cash flow stream. The support segment benefits from contracted maintenance terms and service-level agreements, and frequently sees less sensitivity to macro conditions than new license sales.