Strategy (MSTR) is making another big move in the crypto space. The company has disclosed a new $21 billion “at-the-market” common stock offering to further expand its bitcoin (BTC-USD) reserves. This new offering is part of the company’s recently launched “42-42 Capital Plan,” which aims to raise $42 billion in equity and $42 billion in fixed income by the end of 2027.
This capital plan expansion builds on the previous “21-21 Plan,” authorized in October, and reflects MSTR’s aggressive bitcoin accumulation strategy.
It must be mentioned that the new offering comes as the company has $128 million remaining available for future issuance and sale under the existing program. At the same time, MSTR doubled its planned debt purchase program to $42 billion, of which $14.6 billion remains outstanding.
Strategy Bullish on Bitcoin Despite Q1 Hit
The offering was announced alongside MSTR’s Q1 results. The company reported a $4.2 billion unrealized loss in Q1 2025 due to accounting changes and lower BTC prices.
However, Strategy strengthened its bullish stance on bitcoin by raising its targets. The company now expects BTC Yield of 25% in 2025, up from 15%, and increased its BTC dollar gain target from $10 billion to $15 billion.
As of April 28, 2025, Strategy held 553,555 bitcoin, acquired at a total cost of $37.9 billion, or an average of $68,500 per BTC. Based on current bitcoin prices, MSTR’s holdings are about 40% in profit.
Strategy Stock Rallies in Pre-Market
After remaining flat following its Q1 earnings report, released yesterday, Strategy stock saw a 2% rebound in pre-market trading today. Perhaps, investors cheered the company’s long-term commitment to Bitcoin.
Interestingly, bitcoin itself has been on an uptrend, currently trading at $96,775, up 14.4% over the past month. This rally has helped fuel optimism among crypto investors who see the company’s BTC-heavy balance sheet as a long-term growth driver.
Is MSTR a Good Buy?
Turning to Wall Street, MSTR stock has a Strong Buy consensus rating based on 13 Buys and one Sell assigned in the last three months. At $508.21, the average Strategy stock price target implies a 33.18% upside potential.
