StoneX Raises Strive Price Target 34% to $43, Maintains Buy Rating

StoneX has raised its price target on Bitcoin treasury company Strive by 34%, citing the company's capital restructuring through a new share offering and its continued Bitcoin purchases.

Crypto news outlet The Block reported on October 26 that Mark Palmer, a senior equity research analyst at StoneX, lifted his target price on Strive to $43 from $32 and maintained a buy rating. Strive shares fell 9.15% to close at $26.32 that day, leaving roughly 63% upside to the new target.

Palmer viewed Strive's initial public offering, completed on October 20, and the expiration of its existing warrants as positive developments. Strive raised $630 million in the IPO by selling 7 million shares of its SATS preferred stock, which pays a 15% annual dividend. Together, those two developments streamlined the company's capital structure and support the sustainability of its Bitcoin treasury model centered on perpetual preferred shares, Palmer wrote.

Strive plans to operate both its existing floating-rate Series A perpetual preferred stock, SATA, and the newly issued SATS. Because SATS ranks below SATA in repayment priority, additional fundraising through SATS benefits holders of the senior preferred SATA. The company has already set aside the first 18 months of dividend payments for SATS.

Separately, Strive said on October 26 that it bought another 6,182 Bitcoin between October 17 and October 23, bringing its total holdings to 43,000 Bitcoin. That made it the fourth-largest Bitcoin holder among publicly traded companies, according to BitcoinTreasuries data.