key takeaways
- MSTR shares rose more than 5% during early market hours Wednesday
- Capital Group acquired 4.32 million shares worth about $747 million, bringing its total stake to $1.78B
- The company overtook BlackRock’s IBIT as the largest Bitcoin holder for the first time since Q2 2024.
- Strategy’s Bitcoin treasury now totals 815,061 BTC after $34,160 acquisition of $2.54B coins
- Cantor Fitzgerald raises MSTR price target to $212 while reaffirming its Overweight recommendation
Strategy shares rose more than 5% during Wednesday’s early trading session, driven by significant institutional investment activity and a notable milestone in the company’s Bitcoin acquisition program.
Strategy Inc, MSTR
Through its American Funds Fundamental Investors Fund, Capital Group acquired 4.32 million Strategy shares in a deal worth approximately $747 million. The transaction increases Capital Group’s total stake to 10.33 million shares, currently valued at approximately $1.78 billion.
This investment represents one of the most significant institutional positions taken in MSTR during recent quarters.
The strategy has also achieved a notable benchmark Bitcoin Market participants are monitoring closely. The company has now overtaken BlackRock’s iShares Bitcoin Trust (IBIT) in total Bitcoin ownership – the first time it has claimed this position since Q2 2024.
Battle for Bitcoin supremacy
After completing its most recent acquisition of 34,160 Bitcoin for $2.54 billion, the strategy’s total holdings have now reached 815,061 coins. By comparison, IBIT held approximately 806,178 coins as of April 20.
This recent acquisition reflects of strategy The largest single Bitcoin purchase since November 2024. The company financed this transaction through $2.54 billion in security sales, which included more than 21.7 million shares of STRC preferred stock and approximately 2.16 million MSTR shares.
Since its launch, IBIT has rapidly established itself as the most successful Bitcoin ETF. The strategy’s recapture of the top spot in the holdings ranking reflects the company’s aggressive accumulation approach.
The stock had shown strength even before Wednesday’s session. MSTR is up 24% over the past week, although it trades 43% below levels from six months ago.
Analyst raises outlook
On April 21, Cantor Fitzgerald raised its price target on MSTR to $212 from $192, while maintaining an overweight rating. At that time, MSTR was trading around $170.81.
The firm indicated that investors’ attention is turning to potential Bitcoin dynamics ahead of Strategy’s first-quarter fiscal 2026 earnings report, which is scheduled to be released on May 2 after market close.
Kantar observed that although the strategy posted unprofitable results over the last twelve months, Wall Street analysts expect the company to achieve profitability during the current year.
The topic that emerged during the Q4 earnings discussion – the potential long-term threat quantum computing poses to Bitcoin – continues to attract attention. Several Bitcoin improvement proposals have been put forward, although Cantor emphasized that there remains considerable development work before the protocol can achieve quantum-resistant capabilities.
Regarding financial stability, Cantor said the strategy appears to be adequately prepared to manage rising interest expenses arising from expanded STRC issuance. The company maintains a current ratio of 5.62, with liquid resources significantly exceeding near-term liabilities.
According to TipRanks data, MSTR has a Strong Buy consensus rating among analysts with an average price target of $281.25 – indicating a potential upside of about 71% from current trading levels.
The strategy is scheduled to report Q1 2026 earnings on May 2 after markets close.
