Wall Street analysts cut Strategy stock targets after Bitcoin sale

Maxim Group cut its price target on Strategy to $215 from $250, while maintaining a Buy rating. The reduction follows Strategy's sale of 1,638 Bitcoin worth approximately $105 million, marking a departure from the company's longstanding "never sell" stance. Strategy's shares closed at $98.37 on Wednesday, suggesting the new target still indicates upside potential.

Other analysts have made deeper cuts. Cantor Fitzgerald lowered its Strategy target to $186 and reduced its Bitcoin price forecast to $98,000 by August 2027, down from an earlier $111,000 expectation. B. Riley made a more significant reduction, cutting its target from $215 to $155 and lowering its Bitcoin forecast from $81,500 to $65,000, citing Strategy's decision to pause further Bitcoin purchases as a reason for the lower valuation.

Strategy stated it would use proceeds from the Bitcoin sale for stock buybacks and dividends. The company retains 842,138 Bitcoin after the sale. However, blockchain tracking firms have flagged additional activity. Lookonchain identified a Strategy-linked wallet moving over 1,030 Bitcoin worth more than $66 million across five separate transfers ranging from approximately $6 million to $21 million. This activity followed a larger movement of 300 Bitcoin earlier in the week. Strategy has not confirmed whether these transfers represent additional sales or simply internal custody changes between wallets.