In a recent research report, broker Bernstein raised its price target for MicroStrategy (MSTR) stock to $600 from $290, reiterating an “outperform” rating. This move comes as Bernstein highlights the company’s unmatched Bitcoin treasury strategy, which is expected to draw billions of dollars into the world’s largest cryptocurrency. Bernstein also predicts that MicroStrategy could own 4% of the global Bitcoin supply by 2033, up from its current 1.7%.
The brokerage firm remains bullish on Bitcoin’s long-term prospects, citing supportive regulation, institutional adoption, and favorable macroeconomic conditions. MicroStrategy, led by founder Michael Saylor, has already committed to acquiring $42 billion worth of Bitcoin over the next three years.
In a similar vein, Canaccord also raised its price target for MicroStrategy, moving from $300 to $510, and maintained its “buy” rating. The firm acknowledged that traditional profit and loss metrics no longer apply to MicroStrategy, given that the company’s Bitcoin holdings significantly outweigh its software business in terms of enterprise value. Canaccord analysts suggest that the true value of the stock is best captured by looking at “dollarized BTC accretion per share.”
As of early trading, MicroStrategy’s stock rose over 6% to approximately $448.
