This is why Citi Cut Strategy Inc. (MSTR) Price Target But Asserted Buy Rating

Strategy Inc. (NASDAQ:MSTR) is one of the best beaten-down technology stocks to buy now. On July 1, Citi cut its price target of Strategy Inc. (NASDAQ:MSTR) to $136 from $260 while reiterating a Buy rating. Despite the cut, the new price target represents significant upside potential as the stock is trading at about $93 a share.

This is why Citi Cut Strategy Inc. (MSTR) Price Target But Asserted Buy Rating as a Beaten Down technology Stock

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The price target cut followed Citi’s 27% revision of its 12-month Bitcoin forecast to about $81,800. The $136 price target assumes a 40% contribution from a high Bitcoin price over the next 12 months. The flagship cryptocurrency has been under pressure, tanking to about $61,593 a coin. The research firm has also lowered its adjusted Bitcoin yield estimates for fiscal 2026 and 2027 from 10.4% and 10.5% to 2.6% and 3.5%, respectively.

Strategy Inc. has already issued $1.15 billion in shares, thereby lifting its USD reserve to $2.55 billion from $1.4 billion. The $2.55 billion reserve is expected to cover 17.4 months of dividends.

Strategy Inc. (NASDAQ:MSTR) is a corporate Bitcoin treasury company and enterprise software vendor. It primarily issues debt and equity to accumulate Bitcoin as its core reserve asset while also selling cloud-native, AI-powered business intelligence (BI) software.

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