MicroStrategy's Aggressive Bitcoin Buying Sends Shares Soaring

MicroStrategy's MSTR shares have surged in recent days, driven by the company's aggressive acquisition of Bitcoin. The latest purchase added 1,665 BTC at an average price of $85,681, lifting total holdings to 847,666 BTC worth approximately $63.95B at cost.

The move is part of a larger trend, with MSTR having bought 950 BTC for $75.7M at $79,670 each earlier in the month, taking its stack to 846,000 BTC for $63.8B in cost.

Management reported around $5.0B in USD reserves and roughly $1.0B in cash even after heavy spending on stock buybacks, Bitcoin, and preferred payouts.

The company's strategy has been met with enthusiasm from analysts, with B. Riley lifting its MSTR price target to $195 and keeping a Buy rating, while FactSet shows a Buy consensus with a mean target of $234.11.