How to Play MicroStrategy Stock as Bitcoin Prices Surge Higher Again
Strategy (MSTR) is back in the spotlight as Bitcoin (BTCUSD) prices rebound sharply, giving investors another reason to watch the company’s highly leveraged crypto strategy.
Bitcoin climbed above $80,000 on Sept. 18 and continued its advance into the following session, surging more than 6% on Monday, Sept. 21, climbing above $86,000 and reaching its highest level since January, while Strategy shares jumped over 16% on Friday, Sept. 18 and about 9.5% in the last session, underscoring the stock’s sensitivity to moves in the cryptocurrency.
The company remains the largest corporate holder of Bitcoin, and its latest purchase of 950 BTC for approximately $75.7 million last week lifted its holdings to 846,000 Bitcoin. With Bitcoin momentum strengthening again, investors are now weighing how much further MSTR could benefit from higher crypto prices and the risks that come with its amplified exposure.
About Strategy Stock
Strategy -- formerly known as MicroStrategy -- is a business intelligence software company that has transformed itself into a Bitcoin-focused treasury company. Headquartered in Tysons Corner, Virginia, Strategy develops enterprise analytics software while using Bitcoin as its primary treasury reserve asset. The company has a market cap of $66.9 billion. Strategy has built one of the largest corporate Bitcoin holdings globally, with its business model increasingly centered on acquiring and holding Bitcoin through equity and preferred stock offerings.
Strategy has rebounded sharply in recent trading, although the stock remains 53.9% below its 52-week high reached last year. As of the Sept. 21 close, MSTR was up 10.9% year-to-date (YTD) and had surged 23.1% over the past five trading days, reflecting renewed momentum as Bitcoin prices moved higher. The stock also gained 41.3% over the past month, including a 16.4% jump on Sept. 18 and a further 9.5% advance on Sept. 21.
Despite the recent rally, MSTR remains down 51.1% over the past year, highlighting the stock’s pronounced volatility and close sensitivity to Bitcoin’s price movements. Meanwhile, the latest gains coincided with Bitcoin’s move above $86,000 and Strategy’s disclosure that it had purchased another 950 Bitcoin. This combination of renewed Bitcoin strength and continued accumulation has put MSTR back in focus for investors.
The stock currently trades at a premium compared to industry peers at 123.92 times sales.
Bottom-Line Performance Under Pressure
Strategy reported its second-quarter 2026 financial results on July 30. Strategy’s total revenue increased 6.9% year-over-year (YOY) to $122.4 million. The increase was driven primarily by the company’s transition toward cloud-based subscription services. Subscription revenue jumped 54% to $62.9 million, while product-license revenue declined 48.9% to $3.7 million. Product-support revenue fell 22.7% to $40.2 million, while other services revenue increased 8.3% to $15.6 million.
Gross profit rose 3.7% to $81.6 million, but the gross margin narrowed to 66.6% from 68.8%.
The major swing factor was Bitcoin. Strategy recorded an $8.3 billion unrealized loss on digital assets, compared with a $14.1 billion unrealized gain in Q2 2025. As a result, the company swung to an operating loss of $8.3 billion, versus operating income of $14 billion a year earlier.
Consequently, Strategy posted a net loss of $8.2 billion, or $24.45 per share, compared with net income of $10 billion, or $32.60 per share, in Q2 2025. Net loss attributable to common shareholders was $8.6 billion, compared with net income attributable to common shareholders of $10 billion a year earlier.
During Q2, the company increased its Bitcoin holdings by 11% to 846,000 BTC. By July 26, holdings stood at 843,775 BTC, representing 25% growth YTD.
Strategy achieved a 4.5% BTC Yield YTD, with a BTC Gain of 29,997 BTC and BTC Dollar Gain of approximately $1.95 billion as of late July. Bitcoin Per Share increased about 5% during Q2, from 201,170 sats to 210,824 sats.
Meanwhile, the consensus loss-per-share estimate of $23.74 for fiscal 2026 reflects a 55.9% decline, while the EPS estimate of $17.90 for fiscal 2027 indicates a 175.4% improvement YOY.
What Do Analysts Expect for Strategy Stock?
Analysts are mostly bullish about MSTR’s prospects. Barclays maintained its “Overweight” rating on Strategy while raising its price target to $160 from $125 this month, citing the stabilization of Strategy’s perpetual preferred stock and higher Bitcoin prices.
Also, Canaccord Genuity maintained its “Buy” rating on Strategy and raised its price target to $179 from $175. This reflected the firm’s expectation for further appreciation in Bitcoin over the next 12 months, along with its potential Bitcoin acquisition strategy.
Overall, MSTR has a consensus “Strong Buy” rating. Of the 19 analysts covering the stock, 16 rate it a “Strong Buy,” one suggests a “Moderate Buy,” one gives it a “Hold” rating, and one puts it at “Strong Sell.”
While the average analyst price target of $227.29 suggests potential upside of 34.9%, the Street-high target price of $435 suggests the stock could rally as much as 158.2%.
On the date of publication, Subhasree Kar did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.