TD Cowen Lifts Strategy Price Target to $395 on STRC Funding Shift

CryptoProwl

Thu, May 7, 2026 astatine 9:22 AM CDT 2 min read

TD Cowen raised its terms people connected Strategy (NASDAQ: $MSTR) to $395 from $385, keeping a affirmative presumption connected the institution arsenic it leans much heavy connected STRC preferred banal issuance to money bitcoin purchases. The steadfast said Strategy’s displacement distant from common-share issuance and toward its perpetual preferred banal could marque aboriginal accumulation much superior businesslike portion improving the outlook for the company’s cardinal BTC Yield metric.

That update lands successful the mediate of a broader reset successful however investors are evaluating bitcoin treasury companies. Strategy inactive trades mostly arsenic a leveraged public-market proxy for bitcoin, but the operation down its buying programme is becoming conscionable arsenic important arsenic the size of the purchases themselves. Less common-stock issuance tin trim dilution pressure, portion STRC gives the institution different mode to rise superior for bitcoin accumulation without relying arsenic heavy connected mean equity sales. 

TD Cowen besides lifted its BTC Yield assumptions nether a stronger bitcoin terms outlook. In its basal case, the steadfast present assumes bitcoin reaches $140,000 by the extremity of 2026 and that Strategy buys astir $4 cardinal of bitcoin per quarter. In a much bullish case, with bitcoin reaching $175,000, quarterly purchases could emergence supra $5 billion. 
 
The enactment keeps the absorption connected the aforesaid hostility that has defined Strategy’s banal each year. Investors are watching whether the institution tin support increasing bitcoin per stock portion managing dilution, preferred obligations and marketplace access. STRC has go a larger portion of that equation, and TD Cowen’s higher people suggests the steadfast sees the backing premix arsenic much supportive than earlier modeled. 

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For Strategy, the adjacent signifier of the commercialized whitethorn beryllium little connected whether it keeps buying bitcoin and much connected however efficiently it tin support financing that buying without weakening the shareholder math.  

Strategy Inc. (NASDAQ: MSTR) banal is presently trading astatine $183.03 U.S. per share.

Bitcoin (CRYPTO: $BTC) is presently trading astatine $80,408 U.S. per integer token.