Strategy Acquires 2,932 Bitcoins for $264.1M
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1d ago
0mins
Source: seekingalpha
- Bitcoin Acquisition: Strategy acquired 2,932 bitcoins at an average price of $90,061 each from January 20 to 25, totaling $264.1 million, further strengthening its cryptocurrency investment portfolio.
- Financing Method: To fund this acquisition, Strategy sold approximately 1.57 million shares of common stock, generating $257 million in net proceeds, and issued 70,201 shares of variable rate series A perpetual preferred stock for $7 million, demonstrating flexibility in capital management.
- Total Bitcoin Holdings: Following this purchase, Strategy's total bitcoin holdings reached 712,647, with a cumulative purchase price of $54.2 billion and an average cost of $76,037 per bitcoin, reflecting a long-term strategic commitment to bitcoin investment.
- Market Reaction: Despite a 1.6% increase in bitcoin price to $88,000 over the past 24 hours, Strategy's stock slid 1.5% in early trading on Monday, indicating market caution regarding its acquisition strategy.
Analyst Views on MSTR
Wall Street analysts forecast MSTR stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for MSTR is 453.17 USD with a low forecast of 229.00 USD and a high forecast of 705.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
14 Analyst Rating
12 Buy
2 Hold
0 Sell
Strong Buy
Current: 160.580
Low
229.00
Averages
453.17
High
705.00
Current: 160.580
Low
229.00
Averages
453.17
High
705.00
About MSTR
Strategy Inc., formerly MicroStrategy Incorporated, is a bitcoin treasury and business intelligence company. The Company provides cloud-native, artificial intelligence (AI)-powered enterprise analytics software to thousands of global customers. The Company’s Strategy ONE platform provides access to AI-powered workflows, unlimited data sources, cloud-native technologies, and performance to speed up time from data to action. Strategy One delivers visualization, reporting, and embedded analytics capabilities across retail, banking, technology, manufacturing, insurance, consulting, healthcare, telecommunications, and the public sector. Its Strategy Mosaic is a universal intelligence layer that provides enterprises with consistent definitions and governance across data sources, regardless of where that data resides or which tools access it. The Strategy Mosaic offers data clarity and connection by eliminating trade-offs between flexibility, control, and speed.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
