StoneX has significantly raised its price target for Strive, Inc. (ASST) from $32 to $43, reflecting a 34% increase. The upgrade comes as the bitcoin treasury company strengthens its accumulation strategy. Despite the bullish outlook, ASST shares dropped 9.15% on Monday, closing at $26.32, leaving the new target 63% above current levels.
Strive recently completed a $630 million upsized initial public offering of 7 million shares of its 15% SATS preferred stock. The company also saw its traditional warrants expire last week. Analyst Mark Palmer views these developments as a positive reset for Strive's capital structure, reinforcing its bitcoin treasury model.
Palmer highlighted that Strive has successfully financed bitcoin acquisitions using perpetual preferred equity, with its SATA preferreds playing a key role. The introduction of SATS, which offers a 15% annual dividend, is seen as a complementary addition. SATA holders are expected to benefit as SATS raises assets without adding claims ahead of the senior preferreds.
In other news, Strive acquired 6,182 BTC between October 17 and October 23, bringing its total holdings to 43,000 BTC. This positions the company as the fourth-largest public corporate bitcoin holder, according to Bitcointreasuries data.