Analysts at Berenberg Capital Markets have increased their price target for software firm MicroStrategy to $510 from $430.
In a note to clients, the firm said that it reiterated its "buy" rating for the company, raising its price target due to an increasingly more favorable environment for bitcoin's institutional adoption.
"Based on the faster-than-expected pace at which MSTR has acquired bitcoins since we initiated coverage of the company on April 27, as well our view that the prospects for institutional adoption of bitcoin have improved meaningfully in the interim, we are raising our estimate of the value of the company’s bitcoin holdings as of late-April 2024 to $8.74 billion from $6.27 billion," the firm said.
On June 28, MicroStrategy bought another 12,333 bitcoin for a total price of $347 million.
MicroStrategy and Saylor remain extremely bullish on bitcoin.
"The conviction in our bitcoin strategy remains strong as the digital asset environment continues to mature," MicroStrategy CEO Phong Le said last month.
The firm's stock has appreciated by more than 180% since the beginning of the year.
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