Why MicroStrategy Popped 15% in 2016

Cost cuts at the beginning of 2016, reported in the company’s 2015 fourth-quarter earnings release, sent the company’s stock price skyrocketing right out of the gate.Investors were pleased to see that MicroStrategy beat analysts’ revenue estimates, and produced a double-digit percentage increase in license and subscription revenue. But it was the cost-cutting measures the company implemented that boosted investor optimism, and brought earnings per share of $3.38, a 70% increase year-over-year.