MicroStrategy price target raised by $130 at BTIG, here’s why

BTIG raised the firm’s price target on MicroStrategy to $690 from $560 and keeps a Buy rating on the shares. The company’s acquisition of 16K additional bitcoins proved to be timely as the cryptocurrency has jumped about nearly 20% to $44,000, making the company’s total 174,530 bitcoin holdings worth $7.7B, the analyst tells investors in a research note. The increased equity puts less of an emphasis on MicroStrategy’s $2.2B of outstanding debt as of Q3, as it is covered by $7.7B of bitcoin and a software business that generates about $90M of adjusted EBITDA, the firm added.