Mizuho Maintains Outperform Rating on Strategy Despite Price Target Cut

The downward adjustment reflects a revised forecast for Bitcoin, which Mizuho now projects to reach $71,500 by the end of 2027. Despite the lower target, the brokerage maintains that the stock holds substantial upside potential. The company’s recent divestment of Bitcoin, totaling $216 million, leaves it with a treasury of 843,775 BTC and $2.55 billion in cash reserves. Management noted the sale is intended to fund dividend payments linked to its digital credit securities.

While the market initially reacted with volatility, MSTR shares recovered as Bitcoin pushed back above $63,000. Market observers, including Grayscale Research, contend that the sale demonstrates disciplined capital management rather than financial distress. Zach Pandl of Grayscale highlighted that the move reinforces the company’s financing structure, potentially easing concerns that previously hindered its standing with index providers. Some commentators, such as researcher Ignas, suggest this liquidity demonstration could be a decisive factor in meeting S&P Global's criteria for index inclusion. If successful, such a move would trigger passive buying demand, providing a structural lift to the stock while allowing the firm to potentially repurchase the sold assets in the future.