Anticipated Bitcoin Surge Suggests Potential $521 Price Mark from H.C. Wainwright's Forecast
Revised Article:
MicroStrategy cranks up the heat in its Bitcoin game, gunning for a whopping $84 billion capital plan through 2027 and eyeballing over half a million Bitcoins by 2025, according to a fresh wave of analysis from H.C. Wainwright.
Analyst Mike Colonnese takes a bullish turn on MicroStrategy's stock, setting his price target skyward from $480 to a mind-boggling $521. He's stoked about MicroStrategy's beefed-up BTC holdings forecasts and their impressive execution on capital raising.
In their Q1 2022 report, MicroStrategy doubled their initial capital plan, setting bold new targets. They're aiming for $42 billion in equity and $42 billion in fixed-income issuance, including convertibles and preferreds. That's twice the original goal announced back in 2020. And guess what? They've already raised a cool $10 billion this year, snatching 106,085 Bitcoins in the process.
MicroStrategy's Q1 2022 haul saw them snag 80,715 BTC for a cool $7.7 billion. And they didn't stop there; another 25,370 Bitcoins were added to the stash in April. Their Q1 Bitcoin yield clocked in at 11%, netting them a tasty $4.1 billion gain.
But that's just the beginning. Colonnese thinks MicroStrategy will end 2025 with a staggering 691,249 Bitcoins in its coffers. That's a hefty upgrade from a previous estimate of 601,029. His BTC gain forecast swells to a jaw-dropping $12 billion, based on a year-end price assumption of $150,000 per Bitcoin coin.
Although MicroStrategy has slashed projected revenues for 2025 and 2026 to $461.2 million and $475.7 million respectively, Colonnese ain't sweating it. The $521 price target? That's based on a two times premium to the company's projected 2025 net asset value of $103.7 billion.
Meanwhile, the crypto world hears murmurs about a new giant in town. Twenty One Capital sets its sights on MicroStrategy. But is MicroStrategy's Bitcoin strategy on the nose, or just all bark and no bite? Some, like "The Wolf of All Streets," claim that CEO Michael Saylor might be one of the worst traders in modern history. Is he serious? Time will tell.
- In a bullish move, analyst Mike Colonnese increased his price target for MicroStrategy's stock to a staggering $521, citing their aggressive Bitcoin acquisition strategy and successful capital raising efforts.
- MicroStrategy's Bitcoin haul in Q1 2022 added 106,085 Bitcoins to their coffers, accumulated at a cost of $10 billion, with an estimated 80,715 BTC added in March alone.
- By 2025, MicroStrategy aims to hold over half a million Bitcoins, as projected by analyst Mike Colonnese, which could result in a jaw-dropping $12 billion gain if Bitcoin's price reaches $150,000 per coin.
- MicroStrategy is building an extensive Bitcoin portfolio, having raised $10 billion and acquired approximately 106,085 Bitcoins so far in 2022, a move that has stirred interest in the crypto world from potential investors like Twenty One Capital.
- In contrast to the massive BTC holdings, MicroStrategy's projected revenues for 2025 and 2026 have been revised to $461.2 million and $475.7 million respectively, indicating a shift in focus from traditional stock trading to the emerging Digital Asset Exchange (DEX) and crypto technology markets.
- Bitcoin's allure enticed MicroStrategy to double their initial capital plan, aiming for $42 billion in equity and $42 billion in fixed-income issuance, including convertibles and preferreds, as revealed in their Q1 2022 report.
- While some question MicroStrategy's Bitcoin strategy, and whether its CEO, Michael Saylor, is a subpar trader in modern history, as claimed by "The Wolf of All Streets," one thing is certain: MicroStrategy's $521 price target is based on a two times premium to their projected 2025 net asset value of $103.7 billion, which speaks volumes about the anticipated impact of cryptocurrency investments on the company's overall worth.
