Shares in Strategy PLC surged more than 6% on Thursday after the London-listed software and consulting firm posted better-than-expected quarterly earnings and unveiled a fresh strategy to focus on artificial intelligence services. The stock hit an intraday high of 1,245p, making it one of the top performers on the FTSE 250 index, which itself rose 0.3% to 20,456 points.
The company reported a pre-tax profit of £32.4m for the three months ending 30 June 2026, up 14% year-on-year, beating consensus forecasts of £29.8m. Revenue came in at £187m, slightly ahead of expectations, with strong growth in its cloud-based financial software division. Management attributed the performance to recent cost-cutting measures and a shift towards higher-margin recurring contracts.
In a statement to the London Stock Exchange, Strategy PLC also announced a £50m share buyback programme and said it would accelerate investment in AI-driven tools for corporate finance departments. Chief executive Margaret Holloway said the company was 'well positioned to capture growing demand for automated financial planning and compliance solutions across the UK and Europe.'
The positive news lifted the wider technology sector, with the Stoxx Europe 600 Technology index adding 0.8%. Rivals Sage Group and Computacenter also saw modest gains. However, analysts cautioned that the broader market remains cautious ahead of next week's Bank of England interest rate decision, with the FTSE 100 slipping 0.1% to 8,312 points as bond yields edged higher.
Peel Hunt analyst David Morrison upgraded Strategy PLC's shares from 'hold' to 'buy', setting a new price target of 1,350p. 'This is a clear inflection point. The margin improvement and the buyback signal confidence, while the AI pivot gives a credible growth narrative for the next 18 months,' he wrote in a note. For UK pension holders with exposure to the FTSE 250, the rally provides a welcome boost in a month when small- and mid-cap stocks have lagged larger peers.