TD Cowen Trims MSTR Target to $260 — Still Buying What Saylor's Selling 🧮

TD Cowen has cut its price target on Strategy (MSTR) to $260 from $400 while keeping a Buy rating on the stock, according to a note circulated on Tuesday. The investment bank attributed the revision to a more conservative long-term Bitcoin outlook rather than concerns about the company's balance-sheet strategy.

The revised target comes a day after Strategy, the business intelligence firm turned Bitcoin treasury company chaired by Michael Saylor, rallied more than 12% on Monday following the release of a new framework aimed at monetizing part of its BTC holdings while strengthening its capital position. Despite the bullish market reaction, TD Cowen's analysts said their updated figure reflects a softer trajectory for Bitcoin, the asset at the center of Strategy's corporate strategy.

The firm maintained its Buy rating on MSTR, signaling that it still views the stock as having upside from current levels even after the target reduction. Strategy disclosed a plan to sell a portion of its Bitcoin treasury, a move that has drawn criticism from some market participants, though TD Cowen's note did not single out the sale plan as a factor in the lowered target.

Strategy, formerly known as MicroStrategy, has been the largest corporate holder of Bitcoin and uses the ticker MSTR on U.S. equity markets. The company's stock has historically traded in close correlation with BTC price movements, making analyst targets on MSTR sensitive to shifts in Bitcoin forecasts.

Bitcoin traded in line with broader market conditions on Tuesday, with traders watching for further commentary from institutional desks on the long-term price trajectory cited in TD Cowen's note. Strategy has not publicly responded to the revised target, and the firm did not provide additional context beyond the rating and target adjustment.