The MSTR stock price has recovered from its June low, but Strategy remains down by more than
The rebound has revived interest in Benchmark analyst Mark Palmer’s $435 price target, but reaching it would require MSTR to more than triple from its latest close of $142.80.
MSTR recovers from its June low
Strategy shares fell to approximately
The latest trading price for MSTR shares began at
The latest buying spree is substantial; however, MSTR has been approaching the
A move beyond that range could encourage another push towards
Although this is slightly improved in the short term, over 12 months, MSTR has lost approximately 56%. This implies that it moves more erratically than Bitcoin, the centre of the Strategy’s business model.
Analyst’s $435 target remains an outlier
Palmer kept his Buy rating after Strategy delivered its latest results [Q2] on 30 July, but he reduced his target price from
It implies a more than
Palmer sees Strategy as largely a way for investors to gain amplified exposure to Bitcoin. So, that helps MSTR to outperform if Bitcoin rises, but also increases the losses in the downturn.
The firm’s latest BTC on its balance sheet, as per the latest data, is
Those figures help explain Strategy’s wide range of analysts expectations. A prolonged increase in the price of Bitcoin would increase the likelihood of financial security for Strategy, which should in turn push up the stock price. Falling Bitcoin prices, rises in finance costs/loans, or more stock offerings that diminish shareholders’ control or raise the number of shares will cause the opposite.
Final Summary
- MSTR is now up over 60% from its June lows, but still 56% lower over twelve months.
- Benchmark’s $435 target implies 205% upside and sits well above the wider analyst consensus.
