According to Odaily, Strategy (MSTR) raised approximately $748 million through a common stock offering, increasing its cash reserves to $219 million. TD Cowen (TD Securities) noted that the move significantly improves the company's liquidity and financial flexibility, enabling it to operate through a 'prolonged crypto winter.' The firm's analysts stated that the new cash reserves are sufficient to cover Strategy's interest and dividend expenses for about 32 months. TD Cowen reiterated a 'Buy' rating for Strategy and maintained a $500 price target for the next 12 months. As of the report, Strategy's stock price was around $165, down more than 43% year-to-date.
TD Cowen: Strategy's Cash Reserves Now Cover 32 Months of Expenses
KuCoinFlashShare
Summary
Strategy (MSTR) raised $748 million via a stock offering, boosting cash reserves to $219 million. TD Cowen said the move strengthens liquidity and supports a trading strategy that can endure a long crypto downturn. The firm noted the cash can cover expenses for 32 months, including interest and dividends. TD Cowen keeps a 'Buy' rating and $500 price target for Strategy. The stock trades near $165, down over 43% this year. The capital raise reflects a crypto investment strategy focused on long-term stability.
Source:Show original
Disclaimer: The information on this page may have been obtained from third parties and does not necessarily reflect the views or opinions of KuCoin. This content is provided for general informational purposes only, without any representation or warranty of any kind, nor shall it be construed as financial or investment advice. KuCoin shall not be liable for any errors or omissions, or for any outcomes resulting from the use of this information.
Investments in digital assets can be risky. Please carefully evaluate the risks of a product and your risk tolerance based on your own financial circumstances. For more information, please refer to our Terms of Use and Risk Disclosure.