Strategy (NASDAQ: MSTR) shares are up 4% on Tuesday, March 10, with Bitcoin ($BTC) rebounding by a similar margin and lifting sentiment across cryptocurrency-related equities.
As the company holds roughly 721,000 $BTC, representing about 3.4% of the total supply accumulated at an aggregate cost of approximately $55 billion and an average purchase price near $76,000, its stock is naturally sensitive to breaking crypto news.
For that reason, B. Riley initiated coverage on Strategy on March 9, with a ‘Buy’ rating and a $175 price target. The analyst note marked the first new coverage on the stock since October 2025 and came in following the firm’s second-largest Bitcoin purchase of 2026, valued at about $1.28 billion.
B. Riley initiates coverage on MSTR
According to analyst Fedor Shabalin, the financial services company is optimistic about Strategy’s “Digital Credit” approach to fund additional Bitcoin purchases, although it cautions that success ultimately depends on whether ‘digital gold’ outperforms the dividend costs.
“We believe the dividend yields offered by MSTR’s and ASST’s preferred instruments (currently 8.0–12.5%) are meaningfully superior to most traditional yield-oriented alternatives. We expect the attractive yield to increasingly draw income-focused investors seeking consistent, above-market cash distributions,” Shabalin wrote.
However, the analyst further added that the model remains compelling even among more conservative Bitcoin predictions.
Specifically, with Bitcoin’s long-term compound annual growth rate estimated at roughly 62%, the spread versus the 8.0%–12.5% cost of preferred capital supports the approach.
Strategy stock price target
The MSTR stock is currently trading at $138.95, while Wall Street maintains an overall ‘Strong Buy’ consensus with price targets ranging from $175 to $540, citing TipRanks. Notably, no analyst over the past three months has rated Michael Saylor’s company a ‘Sell.’
For the next twelve months, the average MSTR stock price target sits at $297.73, implying that share prices can more than double by March next year, rallying 114.27%.
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