Bitcoin News Today: TD Cowen Boosts MSTR Target to $680 (61% Gain) on Bitcoin Strategy, Capital Raises

MicroStrategy (MSTR) has become a focal point in the cryptocurrency and stock markets following a bold price target of $680 per share proposed by TD Cowen analyst Lance Vitanza. This forecast, representing a 61% potential upside from current levels, underscores growing institutional confidence in the company’s Bitcoin-centric strategy. Vitanza labeled the $680 target a “street-high” projection and reiterated a “Buy” rating, emphasizing MSTR’s role as a “Bitcoin proxy” with a self-reinforcing model where corporate adoption of Bitcoin drives both asset prices and equity value [1].

The analyst’s optimism stems from MSTR’s aggressive capital-raising efforts and Bitcoin acquisitions. In May 2025, the company purchased 4,020 BTC, and it recently launched a $4.2 billion at-the-market (ATM) offering for 10% Series A Perpetual Stride Preferred Stock. These funds will further bolster MSTR’s Bitcoin treasury, which is projected to generate $15 billion in gains by year-end, up from a prior $10 billion target. The company’s Bitcoin yield—measuring the ratio of holdings to diluted shares—increased to 13.7% in Q1 2025, up from earlier projections [1].

While MSTR reported a 3.6% year-over-year revenue decline in Q1 2025, its subscription service revenue surged 61.6% to $37.1 million, signaling diversification beyond Bitcoin. Analysts at Barclays and Cantor Fitzgerald also revised their price targets upward, with TD Cowen’s $680 target outpacing the current consensus of $543.62. The broader analyst community maintains a “Strong Buy” rating, with 11 of 13 covering analysts favoring the stock [1].

However, the $680 forecast reflects a high-stakes bet on continued Bitcoin adoption and regulatory tailwinds. Critics highlight risks tied to MSTR’s debt-driven strategy, including recent $2.8 billion preferred share offerings that critics argue may dilute equity or complicate capital structure. Vitanza countered by framing Bitcoin as a long-term capital appreciation tool rather than a speculative asset, suggesting institutional demand could buffer volatility.

The analyst’s bullish stance aligns with broader market trends, including the approval of the GENIUS Act and corporate altcoin accumulation. Yet, MSTR’s focus remains squarely on Bitcoin, with its treasury model distinguishing it from peers exploring Ethereum or niche tokens. Vitanza noted that MSTR’s compounding effect—deriving returns from both equity appreciation and Bitcoin price movements—could accelerate as more firms adopt similar strategies [1].

While Bitcoin’s recent all-time high of $70,000 has fueled optimism, MSTR’s potential to outperform the underlying asset depends on sustained institutional adoption and regulatory clarity. The company’s revised 2025 guidance, including a 209% projected increase in earnings per share, adds to its appeal. Nonetheless, the path to $680 hinges on the market’s ability to absorb MSTR’s debt-driven model without significant slippage in Bitcoin’s value.

Source: [1] [Strategy (MSTR) Issues 'Stretch' Shares to Fuel $2.8B Bitcoin Deal](https://www.msn.com/en-us/money/topstocks/strategy-mstr-issues-stretch-shares-to-fuel-2-8b-bitcoin-deal/ar-AA1JhIqV) [2] [Strategy Prices Initial Public Offering of Preferred Stock at $90](https://ca.investing.com/news/company-news/strategy-prices-initial-public-offering-of-preferred-stock-at-90-93CH-4119529)