Strategy (MSTR) Stock Price Target Trimmed; CRCL Remains Sector Pick

Strategy’s stock (NASDAQ: MSTR) is trading 1.9% higher into the pre-market this morning, with the overnight action bullish, despite having it’s price target trimmed over the weekend. Citi maintained a “Buy” rating  on MSTR, while lowering its price target, and naming Circle Internet Group Inc. (CRCL) as its top pick in the sector.

This reflects a cautiously optimistic view on the stock, after a period of high volatility.

Analyst Revisions

Citi revised its price target for Strategy Inc. to $325 from $485, reaffirming its “Buy” rating despite the adjustment. The firm cited updated valuation multiples within the digital assets group as the primary driver for this change. Their analysis expresses that legislative reforms could act as significant catalysts for growth within the sector, maintaining a positive outlook into 2026.

BTIG also adjusted its price target, decreasing it from $700 to $630, while retaining a “Buy” rating. This revision follows comments from Strategy’s Executive Chairman, Michael Saylor, regarding the development of a “credit factory” designed to offer investors varied levels of Bitcoin exposure. BTIG views this initiative as a strategic move to diversify revenue streams and attract a broader investor base.

TD Cowen adopted a similar stance, lowering its price target from $640 to $620, while keeping a “Buy” rating. This minor adjustment reflects a cautious approach given the volatile cryptocurrency market, while still acknowledging the company’s growth potential.

Cantor Fitzgerald made a more significant reduction, lowering its price target from $697 to $560, but maintaining an “Overweight” rating. This substantial decrease suggests a reassessment of Strategy’s valuation based on current market dynamics and Bitcoin’s performance, which significantly impacts the company’s financial outlook.

These revised price targets collectively indicate a more tempered valuation of Strategy, primarily influenced by the inherent volatility of Bitcoin and the broader cryptocurrency market. However, the consistent “Buy” ratings suggest a sustained level of confidence in the company’s strategic direction and its role within the digital assets space.

With Strategy’s stock price having fallen 45% since the start of 2025, the name has been a huge underperformer on the year, with Bitcoin losing just 4.14% YTD against the US Dollar. Citi’s top pick in Circle has delivered a gain of 3.48% since coming to public markets in June.

Bulls will want to see signs that the stock can return to favour in 2026, with any of the revised price targets above offering significant upside. Will execution and price action actually match up to the Street’s expectations, or is further disappointment in store?