Mark Palmer, an analyst from Benchmark Co., reiterated the Buy rating on Strategy. The associated price target remains the same with $705.00.
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Mark Palmer has given his Buy rating due to a combination of factors that highlight Strategy’s strategic decisions and market position. Despite recent criticisms regarding the company’s approach to capital markets and bitcoin acquisition, Palmer believes that the pressure on Strategy’s stock price is more related to market conditions and the premium compression of its bitcoin holdings rather than mismanagement. The decision to relax its self-imposed constraint on common equity issuance is seen as a rational adjustment to maintain flexibility and align with shareholder interests in accumulating more bitcoin.
Palmer views Strategy as a premier option for investors seeking exposure to bitcoin without the risks associated with mining operations. The company’s adaptive strategy, which includes the ability to issue shares even when market conditions are not ideal, is considered a prudent response to capitalize on attractive bitcoin entry points. Furthermore, Palmer’s Buy rating is supported by a comprehensive analysis of Strategy’s projected bitcoin holdings value, expected gains, and the value of its software business, reinforcing the company’s position as a leader in the bitcoin strategy sector.
In another report released on August 26, Canaccord Genuity also maintained a Buy rating on the stock with a $464.00 price target.
Based on the recent corporate insider activity of 90 insiders, corporate insider sentiment is neutral on the stock.