Recommendation: Buy
| Entry Date | Symbol | Recommendation | Entry Price (USD) | Target 1 (USD) | Target 2 (USD) | Holding Duration | Position Status | Return(%)* |
|---|---|---|---|---|---|---|---|---|
| 1 May, 26 | MSTR | Buy | USD 165.45 | USD 174.0 | USD 183.0 | 3 days | Closed |
10.95%
|
*Return(%) represent the percentage change between the entry price and exit price of the recommendation.
Data Powered by EOD Historical Data (“EODHD”).
MicroStrategy Incorporated provides artificial intelligence-powered enterprise analytics software and services in the United States, Europe, the Middle East, Africa, and internationally. It offers MicroStrategy ONE, which provides non-technical users with the ability to directly access novel and actionable insights for decision-making; and MicroStrategy Cloud for Government service, which offers always-on threat monitoring that meets the rigorous technical and regulatory needs of governments and financial institutions. The company also provides MicroStrategy Support that helps customers achieve their system availability and usage goals through highly responsive troubleshooting and assistance; MicroStrategy Consulting, which provides architecture and implementation services to help customers realize their desired results; and MicroStrategy Education that offers free and paid learning options. In addition, it engages in the development of bitcoin. The company offers its services through direct sales force and channel partners. It serves the U.S. government, state and local governments, and government agencies, as well as a range of industries, including retail, banking, technology, manufacturing, insurance, consulting, healthcare, telecommunications, and the public sector. The company was incorporated in 1989 and is headquartered in Tysons Corner, Virginia.
Rise in Subscription Revenue: USD 51.8 Mn in Q4FY25 vs USD 31.9 Mn in Q4FY24
Increase in Bitcoin Holdings: 672,500 BTC in FY25 vs 447,470 BTC in FY24
Decrease in Operating Income: (USD 5.4 Bn) in FY25 vs (USD 1.9 Bn) in FY24
Decline in Net Income: (USD 4.2 Bn) in FY25 vs (USD 1.2 Bn) in FY24
The company remains highly exposed to Bitcoin price volatility, which significantly impacts earnings, balance sheet valuation, and overall financial performance
| Entry Price | Support* | Target 1** | Target 2** |
|---|---|---|---|
| 165.45 | 150.0 | 174.0 | 183.0 |
Data Source: REFINITIV, Analysis: StockNextt
*Support can be considered as an indicative stop-loss, and if prices move below that level on closing basis individuals may evaluate exiting the position depending on their risk appetite, previous holdings, and other factors considered. The support and resistance levels may need to be re-evaluated within 4-6 weeks’ time frame depending on the stock price movements from the date of recommendation on the stock.
**Target prices may vary by ±0.5% depending on market volatility.
Strategic Transformation into a Bitcoin Treasury Leader: Strategy Inc. has continued to position itself as a leading Bitcoin treasury company, significantly expanding its digital asset holdings and capital market presence. The company reported holding 713,502 Bitcoins, representing approximately 3.4% of total Bitcoin supply, highlighting its aggressive accumulation strategy. This transformation is supported by continuous capital raising initiatives, with USD 25.3 billion raised during FY2025, enabling sustained Bitcoin acquisitions and reinforcing its long-term treasury-focused business model.
Revenue Stability with Expanding Subscription Base: Despite its strong pivot toward digital assets, the company maintained a relatively stable software business, with FY2025 total revenues reaching USD 477.2 million, reflecting a modest 3% YoY growth. Notably, subscription services revenue witnessed a significant 62% YoY increase in Q4FY25, indicating a shift toward recurring revenue streams. This operational resilience provides a stable cash flow base, partially offsetting volatility arising from Bitcoin price fluctuations.
Impact of Bitcoin Price Volatility on Profitability: The adoption of FASB fair value accounting in FY2025 introduced substantial volatility in reported earnings, as Bitcoin holdings are now marked to market. In Q4FY25, the company reported an operating loss of USD 17.4 billion and a net loss of USD 12.6 billion, primarily driven by unrealized fair value losses due to a decline in Bitcoin prices. Similarly, for FY2025, net loss stood at USD 4.2 billion, reflecting the inherent earnings volatility tied to digital asset price movements.
Balance Sheet Expansion Driven by Digital Assets: Strategy’s balance sheet expanded significantly, with digital assets increasing to USD 58.9 billion by the end of FY2025 from USD 23.9 billion in FY2024. Total equity rose to USD 51.1 billion, supported by both capital raises and unrealized gains during the year. Additionally, the company strengthened its liquidity position with USD 2.3 billion in cash reserves, ensuring operational flexibility and financial resilience amid market fluctuations.
Robust Capital Markets Access and Financial Structuring: The company demonstrated strong access to capital markets, becoming the largest US equity issuer in 2025. It introduced innovative digital credit instruments, including multiple preferred securities, enhancing funding diversification. With USD 2.25 billion in USD reserves, Strategy has secured approximately 2.5 years of dividend coverage, underscoring its ability to sustain financial obligations despite volatile earnings.
Operational Leverage and Bitcoin-Centric Growth Strategy: Strategy continues to leverage its balance sheet to amplify Bitcoin exposure, aiming to increase Bitcoin per share (BPS) through structured capital issuance. The company reported a BTC yield of 22.8% in FY2025, generating a BTC gain of USD 8.9 billion. This approach aligns with its objective of outperforming Bitcoin returns through disciplined capital deployment and financial engineering.
Outlook Supported by Institutional Adoption and Market Integration: The broader adoption of Bitcoin across institutional investors, ETFs, and financial markets supports Strategy’s long-term growth thesis. Inclusion in MSCI indexes and increasing acceptance of digital assets by global financial institutions further strengthens its positioning. However, performance remains highly dependent on Bitcoin price trends, making the company’s outlook closely tied to macro crypto market dynamics.
Considering recent key business, financial updates, current trading levels, and key business risks, a ‘Buy’ recommendation has been given to Strategy Inc. (NASDAQ: MSTR) at the closing market price of USD 165.45, as on April 30,2026.
Data Powered by EOD Historical Data (“EODHD”).
Sector: Technology Industry: Software - Application
| Company | Change (USD) | Price (USD) | Trailing PE (x) | Forward PE (x) | Price Sales TTM (x) | Price to Book Value (x) | Enterprise Value to Revenue (x) | Enterprise Value to EBITDA (x) |
|---|---|---|---|---|---|---|---|---|
| MSTR MicroStrategy Incorporated |
5.28 5.40% | 103.10 | - | 1250.00 | 209.17 | 25.90 | 218.21 | -447.3154 |
| SAPGF SAP SE |
0.002 0.0013% | 157.35 | 76.28 | 22.88 | 5.61 | 3.84 | 5.59 | 26.18 |
| SAP SAP SE ADR |
-2.85 1.80% | 155.50 | 75.80 | 22.37 | 5.62 | 3.75 | 5.51 | 25.79 |
| CRM Salesforce.com Inc |
-2.605 1.50% | 171.19 | 23.99 | 14.14 | 4.16 | 2.58 | 3.85 | 12.75 |
| INTU Intuit Inc |
0.18 0.06% | 294.00 | 55.56 | 32.68 | 11.28 | 10.07 | 11.62 | 40.11 |
Data Powered by EOD Historical Data (“EODHD”).
Markets are trading in a highly volatile zone currently due to certain macro-economic issues and prevailing geopolitical tensions. Therefore, it is prudent to follow a cautious approach while investing.
Related Risks: This report may be looked at from high-risk perspective and recommendations are provided are for a short duration. Recommendations provided in this report are solely based on technical parameters, and the fundamental performance of the stocks has not been considered in the decision-making process. Other factors which could impact the stock prices include market risks, regulatory risks, interest rates risks, currency risks, social and political instability risks etc.
Note 1: Past performance is not a reliable indicator of future performance.
Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels as on May 1, 2026. The reference data in this report has been partly sourced from REFINITIV.
Note 3: Investment decisions should be made depending on an individual's appetite for upside potential, risks, holding duration, and any previous holdings. An 'Exit' from the stock can be considered if the Target Price mentioned has been achieved and is subject to the factors discussed above.
Note 4: StockNextt reports are prepared based on the stock prices captured either from REFINITIV or Trading View. Typically, REFINITIV or Trading View may reflect stock prices with a delay which could be a lag of 15-20 minutes. There can be no assurance that future results or events will be consistent with the information provided in the report. The information is subject to change without any prior notice.
Support: A level at which the stock prices tend to find support if they are falling, and a downtrend may take a pause backed by demand or buying interest. Support 1 refers to the nearby support level for the stock and if the price breaches the level, then Support 2 may act as the crucial support level for the stock.
Target: A level at which the stock prices tend to find resistance when they are rising, and an uptrend may take a pause due to profit booking or selling interest. Target 1 refers to the nearby resistance level for the stock and if the price surpasses the level, then Target 2 may act as the crucial resistance level for the stock.
Stop-loss: It is a level to protect further losses in case of unfavourable movement in the stock prices.
Disclaimer :
This report has been issued by StockNextt which has an Ontario Business Identification Number 1000958347 and British Columbia registration Number FM1051529 is a trade name under Kalkine Canada Advisory Services Inc. having Business Number 761925130BC0001. Kalkine Canada Advisory Services Inc. and StockNextt are collectively referred to as “StockNextt”, “we”, “us”, and “our”. The website https://stocknextt.com and associated pages are published by StockNextt. The information in this report and on the StockNextt website has been prepared from a wide variety of sources, which StockNextt, to the best of its knowledge and belief, considers accurate. StcokNextt has made every effort to ensure the reliability of information contained in its reports, newsletters, and websites. All information represents our views at the date of publication and may change without notice. The information in this report does not constitute an offer to sell securities or other financial products or a solicitation of an offer to buy securities or other financial products. Our reports contain general recommendations for investing in securities and other financial products. StockNextt does not offer financial advice based upon your personal financial situation or goals, and we shall not be held liable for any investment or trading losses you may incur by using the opinions expressed in our reports, publications, market updates, news alerts and corporate profiles. StockNextt does not intend to exclude any liability which it is not permitted to exclude under applicable law or regulation. StockNextt’s general advice does not in any way endorse or recommend individuals, investment products or services for your personal financial situation. You should discuss your portfolios and the risk tolerance level appropriate for your personal financial situation, with a professional authorised financial planner and adviser. You should be aware that the value of any investment and the income from it can go down as well as up and you may not get back the amount invested. Please also read our Terms and conditions for further information. Employees and/or associates of StockNextt and its related entities may hold an interest in the securities or other financial products covered in this report or on the StockNextt website. Any such employees and associates are required to comply with certain safeguards, procedures and disclosures as required by law.
Copyright © 2026 Krish Capital Pty Ltd. All rights reserved. No part of this website, or its content, may be reproduced in any form without our prior consent.
Australia