Analyst Mark Palmer from Benchmark Co. reiterated a Buy rating on Strategy and keeping the price target at $705.00.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Mark Palmer has given his Buy rating due to a combination of factors highlighting Strategy’s innovative approach and strong market position. The company has established itself as a leader in the digital asset treasury space, boasting the largest corporate bitcoin treasury. This significant holding has allowed Strategy to create a new capital markets vertical focused on bitcoin-linked fixed income instruments, particularly perpetual preferred shares.
Strategy’s perpetual preferred stock offerings provide it with access to permanent capital, aligning well with bitcoin’s volatility and offering flexibility that traditional debt does not. This financial innovation positions Strategy as a market architect, transforming bitcoin into a foundational element for new credit market segments. Additionally, the company’s ability to attract traditional investors to bitcoin-linked securities, as demonstrated by its significant STRC preferred stock offering, underscores its pioneering role. These strategic moves, combined with a comprehensive sum-of-the-parts analysis, support the reiterated Buy rating and a price target of $705.
Palmer covers the Financial sector, focusing on stocks such as Galaxy Digital, Hut 8, and Coinbase Global. According to TipRanks, Palmer has an average return of 13.0% and a 49.06% success rate on recommended stocks.
In another report released on September 29, TD Cowen also maintained a Buy rating on the stock with a $620.00 price target.