Cantor Fitzgerald raises Strategy stock price target on bitcoin gains

Cantor Fitzgerald raised its price target for Strategy (MSTR) to $208, citing strong Bitcoin (BTC) expectations. Analyst Ramsey El-Assal increased his 12-month BTC forecast to $112,000. MSTR stock fell 2% amid concerns over potential MSCI index exclusion. The company holds 848,000 BTC, with Cantor estimating its enterprise value at $110 billion.

Michael Saylor, executive chairman of Strategy (MSTR), stated Bitcoin has bottomed and expects it to surpass $100,000. MSTR bought 250 Bitcoin for $21.5 million, raising holdings to 848,250. The company's average purchase price is $75,444 per Bitcoin. MSTR also repurchased $192.4 million in preferred shares, funded partly by selling common shares. Bitcoin's price impacts MSTR's valuation, with potential gains or losses tied to its performance.

Strategy faces potential removal from MSCI's global equity indexes under new rules, impacting billions in passive investments. Shares fell 2.7% premarket. MSCI's decision targets non-operating companies, with Strategy and Metaplanet on the deletion list. Strategy warned of $2.8B stock liquidation if excluded. The company has a market value of $64.3B.

Strategy's stock fell 4% after MSCI announced new rules that could remove it from the MSCI World Index. The change targets 'non-operating companies' and will be finalized in November 2026. Strategy holds mostly non-operating BTC assets, making it a likely candidate for removal. MSCI's decision could trigger significant outflows, with JPMorgan estimating $2.8 billion in potential losses. Strategy's management has lobbied against the removal, calling the rules discriminatory.

Strategy (MSTR) shares fell 3% premarket after MSCI announced new index eligibility rules that could lead to its removal. The revised criteria focus on financial ratios and operating assets, replacing temporary restrictions on digital asset holdings. MSCI-tracking funds hold about 13 million MSTR shares, or 3.1% of its outstanding shares. The final list of affected companies will be published on 11 November.

MSCI's new rules may remove Strategy Inc (MSTR) from global indices due to its substantial investment assets, primarily Bitcoin. MSTR's high P/S ratio and insider selling raise concerns. The changes could pressure MSTR's stock price when implemented in November. MSTR has a market cap of $63.86B and holds 848,250 Bitcoins.