MicroStrategy (MSTR), widely regarded as a de facto Bitcoin investment fund, has achieved a market capitalization of over $100 billion and is on track to surpass semiconductor giant Intel. Analysts predict further growth in MSTR stock value as Bitcoin continues its rally.
MicroStrategy’s Rapid Ascent
According to Google Finance, Intel’s market cap stands at approximately $102 billion as of Nov. 20. Meanwhile, MicroStrategy’s recent performance reflects a sharp acceleration, bolstered by its aggressive Bitcoin acquisition strategy.
The cryptocurrency market saw a significant boost following Donald Trump’s recent presidential election victory in the United States. Analysts suggest the crypto-friendly outlook associated with Trump’s win is driving optimism in the industry.
On Nov. 20, Bloomberg Intelligence analyst Eric Balchunas reported that MicroStrategy became the most traded stock in the U.S., outperforming heavyweights like Tesla and Nvidia.
The “21/21 Plan”
During its Oct. 30 earnings call, MicroStrategy unveiled a bold strategy to raise $42 billion—split evenly between equity and debt—to fund a three-year Bitcoin buying spree, dubbed the “21/21 Plan.” This initiative is expected to further amplify the company’s Bitcoin holdings and market position.
Benchmark fintech analyst Mark Palmer noted that MicroStrategy’s strategy has faced skepticism but has yielded significant returns. Over the past four years, its stock has outperformed nearly all major U.S. companies. Palmer raised his price target for MSTR stock from $300 to $450, reflecting growing confidence in the company’s trajectory. He also forecasted Bitcoin’s price to reach $225,000 by the end of 2026.
Record Bitcoin Purchase
On Nov. 19, MicroStrategy announced its largest Bitcoin purchase to date, acquiring 51,780 BTC for $4.6 billion in a weeklong buying spree from Nov. 11 to Nov. 17. The company now holds around $40 billion in Bitcoin, cementing its position as one of the largest BTC holders globally.
Executive Chairman Michael Saylor revealed in a CNBC interview that MicroStrategy’s Bitcoin acquisition pace is outstripping its original expectations. This accelerated approach aligns with the company’s commitment to its unique performance metric, Bitcoin yield.
Bitcoin Yield: A New Corporate Metric
Bitcoin yield, which measures the ratio of BTC holdings to outstanding shares, has emerged as a critical benchmark for evaluating MicroStrategy’s corporate performance. By focusing on BTC-per-share, the company has redefined its value proposition, attracting a mix of supporters and skeptics.
“While many investors focus on MicroStrategy’s market cap relative to net asset value, Bitcoin yield offers a more insightful lens to assess its value,” Palmer explained.
Looking Ahead
With analysts forecasting sustained growth in both Bitcoin prices and MicroStrategy’s stock performance, the company is well-positioned to maintain its trajectory. As its market cap edges closer to Intel’s, MicroStrategy continues to redefine the intersection of corporate finance and cryptocurrency investment.
