Summary Highlights:
- MicroStrategy significantly expands its bitcoin holdings, acquiring 10,100 bitcoins.
- The average price target for MSTR reflects a potential 25% upside from current levels.
- Despite bullish analyst targets, GuruFocus indicates a potential downside based on GF Value estimates.
MicroStrategy (MSTR, Financial) has made a bold move in the cryptocurrency market by acquiring 10,100 bitcoins at a total cost of $1.05 billion between June 9 and 15. This acquisition propels MicroStrategy's overall bitcoin holdings to an impressive 592,100, collectively valued at $41.84 billion. This purchase was strategically financed through at-the-market sales of Strategy's (STRK) and (STRF). Following this announcement, MicroStrategy's stock experienced a notable 1.6% increase in premarket trading.
Wall Street Analysts Forecast
Turning to Wall Street's outlook, the consensus among 13 analysts places the average one-year price target for Strategy (MSTR, Financial) at $480.00. This projection includes a high estimate of $600.00 and a low of $175.00, suggesting an anticipated upside of 25.37% from its current price of $382.87. For investors seeking a deeper dive into these forecasts, more detailed estimates are accessible on the Strategy (MSTR) Forecast page.
Furthermore, based on the combined insights of 12 brokerage firms, Strategy's (MSTR, Financial) average brokerage recommendation is assessed at 2.0, which correlates with an "Outperform" rating. On this scale, a score of 1 represents a Strong Buy recommendation, whereas a score of 5 denotes a Sell recommendation.
However, the picture is less optimistic when viewed through the lens of GuruFocus metrics. Their GF Value estimates suggest that, in one year, Strategy (MSTR, Financial) could see a value of $24.16, indicating a significant downside of 93.69% from the present price of $382.87. The GF Value represents GuruFocus' assessment of the stock's fair trading value, calculated from historical trading multiples, past business growth, and future performance projections. Additional detailed insights are available on the Strategy (MSTR) Summary page.
