Benchmark analyst Mark Palmer has significantly raised the price target for Strategy to $705, a move predicated on a forecast that Bitcoin will reach at least $225,000 by the end of 2026.
The revised target underscores the firm’s projected trajectory, with Strategy aiming to surpass the treasury holdings of technology giants Microsoft, Google, and Amazon within three to five years. Its ultimate ambition is to exceed Berkshire Hathaway’s substantial $410 billion cash reserve.
Strategy announced a net income of $10 billion in its second quarter, primarily driven by unrealized gains on its significant Bitcoin holdings. The company had previously worked to optimize its capital structure, redeeming $1 billion in convertible notes in early 2024 to reduce leverage and shifting towards preferred stock for enhanced capital management.
Despite recent market turbulence causing an 8% drop across the broader cryptocurrency market and a Bitcoin price fluctuation around $114,950, Strategy maintains a strongly bullish long-term perspective on Bitcoin’s value and its own strategic position within the asset.