MicroStrategy shares rise on Monday premarket as Michael Saylor reveals MSTR generating $500M daily amid Bitcoin’s surge (UPDATED) – MicroStrategy (NASDAQ:MSTR)

Note: This article has been updated to include Bernstein’s revised price target for MSTR.

In a remarkable turn of events, MicroStrategy Inc MSTR saw its shares jump 5.93% in pre-market trading on Monday, as per Benzinga Pro. This increase comes on the heels of co-founders Michael Saylor‘s announcement that the company is generating $500 million daily as Bitcoin edges closer to the $100,000 mark.

What happened: At the time of the report, Bitcoin BTC/USD was valued at $98,273.58. The cryptocurrency’s rise has significantly impacted MicroStrategy’s performance as the company has invested heavily in Bitcoin.

same day, Canaccord Authenticity reaffirmed a Buy rating on MicroStrategy’s stock and lifted their price target from $300.00 to $510.00. The firm praised MicroStrategy’s new strategy to assess value creation through a new key performance indicator centered on Bitcoin growth per stock and Bitcoin dividends.

Bernstein’s Monday report also underscores MicroStrategy’s pivotal role in bringing Bitcoin into the Wall Street mainstream, predicting the company’s Bitcoin holdings will rise from the current 1.7% to 4% of global supply by 2033. It also raised its price target for the stock at $600 , up 42% from the current $421.88.

See also: Robert Kiyosaki: ‘Trump Will Make America Rich Again By Being The First Bitcoin President’

Why it matters: Saylor recently revealed that MicroStrategy mints $500 million a day as Bitcoin approaches $100,000 for the first time. Saylor highlighted the company’s massive gains, noting that their Bitcoin holdings appreciated by $5.4 billion over two weeks. This underscores the significant impact of Bitcoin’s value on MicroStrategy’s financial health.

However, not everyone is convinced of MicroStrategy’s valuation. Investment adviser Gary Black questioned the company’s share price, suggesting it may be overpriced. Black pointed out that while MicroStrategy’s Bitcoin holdings were valued at $31.2 billion, the company’s market cap was $106 billion, raising concerns about its equity value.

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Disclaimer: This content was produced in part with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.

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