Strategy (MSTR) Gets Buy Rating From Citi on Bullish Bitcoin (BTC) Outlook
Citi initiated coverage on Strategy (MSTR) with a buy/high risk rating and a $485 price target, viewing it as a leveraged bet on Bitcoin.Summary
Investment bank Citi initiated coverage of Strategy (MSTR) with a buy/high risk rating and a $485 price target, positioning the stock as a leveraged play on Bitcoin (BTC). This target is based on Citi's 12-month Bitcoin forecast of $181,000 and assumes a 25% to 35% net asset value (NAV) premium, consistent with MSTR's historical bitcoin yield multiple. Analysts noted that this structure provides amplified upside during bull markets but significant drawdowns if prices reverse; under a bear case, the stock could lose about 61%. Citi credited Michael Saylor's 2020 pivot to Bitcoin as the successful treasury strategy model. Strategy continues to expand its Bitcoin holdings, recently acquiring another 168 BTC, bringing its total to 640,418 BTC.
(Source：CoinDesk)