Research Alert: CFRA Maintains Hold Opinion On Shares Of Strategy

-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:

We lift our 12-month target price by $26 to $198, assuming a 10% BTC yield in 2026 (997K BTC by year-end), a $85K BTC target price, and a 1.20x mNAV (BTC/EV premium). We feel traditional valuation multiples are irrelevant and focus on capital-raising efforts and mNAV estimates to determine our price target. We expect MSTR to acquire 280K-350K BTC in 2026 based on new capital, average BTC prices, and mNAV assumptions. Management announced its intent to move from a passive buy-and-hold vehicle to active management. MSTR currently has $2.2B in BTC it could sell at a loss and pay preferred dividends, creating less dilution vs newly raised capital. Management was willing to potentially sell BTC if mNAV fell below 1.2x and use the proceeds to repurchase stock. Management already raised $11.7B YTD in proceeds, ahead of our view, and we expect STRC to remain the primary vehicle for newly raised capital unless mNAV expands to 1.4x-1.6x. We forecast EPS of $20 (down from $30) in 2026 and $40 (unchanged) in 2027.

DraftKings Integrating Market-Making Into Predictions a Key Catalyst for Higher Marketing Spend, Oppenheimer Says

DraftKings (DKNG) integrating market-making into Predictions is seen as a key catalyst for increased marketing spend, as it could generate higher lifetime value and customer acquisition cost thresholds, Oppenheimer said in a note emailed Wednesday.The brokerage expects Q1 revenue and earnings before interest, taxes, depreciation and amortization of $1.6 billion and $143 million, respectively, compared with Street consensus of $1.63 billion and $150 million. It forecasts Q2 revenue and EBITDA of $1.67 billion and $284 million, compared with Street estimates of $1.57 billion and $271 million, according to the note.Oppenheimer believes April had strong holds, and anecdotal usage suggests levers around profit-boosts and early wins could support May handle as comparisons ease.The firm said it has yet to see Predictions iterations that command higher marketing spend into the World Cup, but that could change if market-making accelerates.DraftKings is set to report Q1 results Thursday.Oppenheimer maintained an outperform rating on DraftKings with a $35 price target.Price: $24.58, Change: $+0.40, Percent Change: +1.68%

$DKNG

Update: Super Micro Computer Shares Rise After Fiscal Q3 Adjusted Earnings Beat

(Updates with the latest stock price movement in the headline and the first paragraph.)Super Micro Computer (SMCI) shares rose more than 22% in Wednesday trading, a day after the company reported a fiscal Q3 adjusted earnings beat.The company reported fiscal Q3 adjusted earnings late Tuesday of $0.84 per diluted share, up from $0.31 a year earlier.Analysts polled by FactSet expected $0.62.Revenue for the three months ended March 31 was $10.24 billion, up from $4.60 billion a year earlier.Analysts surveyed by FactSet expected $12.39 billion.For fiscal Q4, the company expects adjusted EPS of $0.65 to $0.79 and revenue of $11 billion to $12.50 billion. Analysts expect EPS of $0.55 and revenue of $11.06 billion.For the full-year fiscal 2026, the company expects revenue in the range of $38.90 billion to $40.40 billion. Analysts expect $40.89 billion.Price: $34.03, Change: $+6.20, Percent Change: +22.27%

$SMCI

Research Alert: CFRA Maintains Hold Opinion On Shares Of Strategy

Related Articles

DraftKings Integrating Market-Making Into Predictions a Key Catalyst for Higher Marketing Spend, Oppenheimer Says

Update: Super Micro Computer Shares Rise After Fiscal Q3 Adjusted Earnings Beat

US Treasury Closing Levels