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Added to YB: 2024-03-29

Pitch date: 2024-03-28

MSTR [bearish]

Strategy Inc

-7.26%

current return

Author Info

Kerrisdale Capital is a research-oriented investment firm that shares investment ideas. Sign up for the newsletter.

Company Info

Strategy Inc, together with its subsidiaries, operates as a bitcoin treasury company in the United States, Europe, the Middle East, Africa, and internationally.

Market Cap

$52.8B

Pitch Price

$164.50

Price Target

972.00 (+451%)

Dividend

N/A

EV/EBITDA

6.06

P/E

6.72

EV/Sales

140.52

Sector

Software

Category

N/A

Show full summary:
Long BTC / Short MicroStrategy Inc (MSTR) Know When to HODL, Know When to FODL

MSTR: Trading at 2.6x NAV premium vs BTC spot, an unjustified 157% premium. Historically at 1.3x avg. Software biz only 3% EV. Bulls cite no mgmt fees, leverage, FCF to buy more BTC but they're weak arguments. Massive dilution kept BTC/shr flat. Reversion to mean = 50% downside vs BTC.

Read full article (9 min)