Citi Raises MSTR Price Target to $240 Amid Bullish Bitcoin Outlook

Strategy Inc (MSTR) shares reversed lower on Friday, despite Bitcoin breaking above $87,000 and a bullish note from Citi. Analyst Peter Christiansen raised his price target on MSTR to $240 from $136, citing a revised 12-month Bitcoin forecast of $113,400, up 39%. The analyst attributed 34% of the upside to the higher Bitcoin price and 16% to an expected expansion in MSTR's market-to-net-asset-value multiple.

Christiansen also revised his FY2027 adjusted Bitcoin Yield estimate 190 basis points higher, to 5.9%, after cutting his FY2026 estimate to negative 3.3%. This was driven by Strategy's cash reserve build and Bitcoin sales in the third quarter.

The earlier advance in Bitcoin and related equities was reinforced by shifts in the broader macro environment, with bond markets turning favorable for risk assets and Treasury yields retreating. However, despite these supportive macro developments, MSTR shares turned lower as the session progressed, erasing earlier gains.

Strategy's strong correlation with Bitcoin means that its shares tend to rise and fall alongside the cryptocurrency. With Strategy holding more Bitcoin than any other public company on Earth, its balance sheet carried 847,666 Bitcoin as of late September.