Overview
- Citi's valuation assumes a 25%–35% premium to net asset value, aligning with Strategy’s historical bitcoin yield multiple.
- Under Citi’s bear case, a 25% decline in bitcoin and a swing from a premium to a 10% NAV discount would imply about 61% downside for the shares.
- Strategy disclosed buying 168 BTC at an average $112,051 on Oct. 13–14, lifting reported holdings to 640,418 BTC and reinforcing its status as the largest corporate holder.
- MSTR rose roughly 1.5%–1.7% on Tuesday, closing near $302 following the coverage initiation and purchase disclosure.
- Citi expects the company to keep using capital markets to grow its position, and media reports cite at‑the‑market perpetual preferreds and the expanded ‘42/42’ equity plan among funding sources.