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Mizuho Remains Bullish on Strategy (MSTR) Following Q3 2025 Results
Yahoo Finance· 2025-11-22 03:18
Core Viewpoint - Strategy Inc. (NASDAQ:MSTR) is recognized as a leading investment opportunity in the cryptocurrency sector, despite a recent price target reduction by Mizuho from $586 to $484 while maintaining an "Outperform" rating [2]. Financial Performance - In Q3 2025, Strategy Inc. reported an EPS of $8.42, driven by an operating income of $3.9 billion and a net income of $2.8 billion [3]. - The company raised $19.8 billion in Bitcoin in 2025, ending the quarter with 640,808 Bitcoin holdings, which account for over 3% of all Bitcoin in existence [3]. - The year-to-date Bitcoin yield for the company is 26%, attributed to fair-value accounting that added $18 billion to digital asset equity [3]. - Total revenue for Q3 reached $128.69 million, an increase from $116.07 million in Q3 2024, with growth primarily from Product licenses and Subscription services [3]. Strategic Positioning - The company's strong earnings and capital-raising capabilities enhance its leading position in the market [4]. - Management plans to maintain financial flexibility through various funding methods, including ATM issuances and Bitcoin derivatives, while focusing on educating financial institutions about Bitcoin adoption [5]. - The management emphasizes that institutional acceptance and compliance are crucial for the growth of the cryptocurrency industry [5].