MicroStrategy price target raised to $791 from $670 at Canaccord

Canaccord raised the firm’s price target on MicroStrategy to $791 from $670 and keeps a Buy rating on the shares after the company announced the purchase of another 14,620 bitcoins during December following acquiring about 16,130 bitcoins during November. While “BTC is acting well” in the last month and six months, MicroStrategy shares “continue to act even better,” says the analyst, who said that as shares continue to appreciate faster than the company’s underlying Bitcoin holdings, the premium at which the stock trades to underlying spot also increases. The firm believes MicroStrategy’s scarcity premium has increased over the last several months as equity investors see the shares as perhaps the best way to play potential first half of 2024 Bitcoin catalysts, including potential ETF approvals and the awards halving, the analyst added.