Is It Too Late to Buy MicroStrategy Stock?
Even if you're bullish on Bitcoin, there may not be a compelling reason to invest in MicroStrategy today.
Michael Saylor, MicroStrategy CEO, joins 'Closing Bell: Overtime' to discuss the crypto rally, on the next SEC Chair and crypto outlook.
Michael Saylor is a perennial crypto bull.
Though many technology and cryptocurrency stocks have achieved massive success in 2024, with MicroStrategy (NASDAQ: MSTR) being a prime example as it is up 420.42% year-to-date (YTD), few have matched the feat accomplished by one nano-cap Bitcoin (BTC) miner.
MicroStrategy said that because of the volume of share sales to raise money to buy bitcoin, Michael Saylor, the company's co-founder and chair, will no longer hold the majority of voting power.
MicroStrategy Inc. (NASDAQ: MSTR) has been riding the crypto wave, with its stock price surging alongside Bitcoin's (BTC) recent all-time highs.
Following my prior "strong buy" article rating, MicroStrategy's stock surged 86.59% to $351.73 due to strong growth in bitcoin holdings, but I am now downgrading the stock to "hold." Despite positive subscription revenue growth, MicroStrategy faces significant headwinds with -$340.2 million in net losses and declining software segment revenues. MSTR's market cap is significantly overvalued compared to its bitcoin holdings, with a premium near 3x, raising concerns about sustainability.
MicroStrategy just announced a bold new plan to buy $42 billion worth of Bitcoin during the next three years.
Michael Saylor has been spot on with his Bitcoin prediction (and backed it up with a monstrous bet). In a recent interview, he broke down his long-term bullish thesis for Bitcon.
The bull run continues for cryptocurrencies.
Shares of MicroStrategy Inc. entered record territory Monday for the first time in 24 years, as the self-proclaimed largest corporate holder of bitcoin continued to ride the postelection frenzy in cryptocurrency plays.