MicroStrategy invests another $200 million in BTC, TD Cowen target price $640

The Bitcoin reserve strategy pioneer MicroStrategy Strategy (, originally named MicroStrategy), purchased an additional 1,955 Bitcoins, expanding its Bitcoin holdings to 638,460 coins. MicroStrategy's mNAV remains low at 1.53, but this fundraising is still primarily through the issuance of common stock MSTR, with the heavy interest burden from preferred stock. Is it the driving force behind the Bitcoin flywheel or a resistance? Although MicroStrategy was not selected for the S&P 500 index this time, TD Cowen still recommends "buy", with a target price of $640.

( MicroStrategy failed to join the S&P 500 index, Saylor was selected as Bloomberg's billionaire with assets exceeding $7.3 billion )

Strategy raised 200 million for further BTC purchases, holding a total of 638,460 Bitcoins.

Strategy this time through issuance

8% convertible preferred stock STRK raised 5.2 million USD

10% preferred stock STRF raised 11.6 million USD

MSTR common stock raised 200.5 million USD

A total of 217.3 million USD was raised, all of which was used to purchase Bitcoin. Strategy acquired 1,955 Bitcoins at an average cost of 111,196 USD. As of September 7, 2025, Strategy holds a total of 638,460 Bitcoins, with a total cost of 47.17 billion USD and an average cost of 73,880 USD per Bitcoin.

Is the heavy interest burden of preferred stock a driving force or resistance for Bitcoin's flywheel?

MicroStrategy announced during its last earnings call that it will determine whether to continue issuing common stock in exchange for Bitcoin through the ATM program based on its internal assessment metric "mNAV premium ratio," in order to provide greater flexibility when executing its capital market strategy. If mNAV is between 1 and 2.5 times, new shares will not be issued unless it is for the purpose of paying existing debt interest or distributing preferred stock dividends. However, founder Michael Saylor contradicted this guideline just two weeks later, stating that if issuing common stock is beneficial for the company, it will still issue MSTR at a rate below 2.5 times mNAV.

Based on the recent price of MicroStrategy's preferred shares and the amount of capital raised, it may be that the attractiveness of preferred shares to investors is no longer as enticing, or the enormous interest pressure from preferred shares has caused concerns and backlash among existing shareholders. Another Japanese Bitcoin reserve company, Metaplanet, which plans to issue preferred shares, is currently facing significant correction pressure on its stock price. Whether issuing preferred shares is a driving force or resistance to accelerate the Bitcoin flywheel is worth contemplating.

(MicroStrategy issues common stock to buy Bitcoin, the attractiveness of preferred stock is insufficient, the STRC dividend rate rises to 10%)

TD Cowen recommends "buy" with a target price of 640 USD.

MicroStrategy was not selected for the S&P 500 index this time, but most analysts are not surprised. TD Cowen analysts believe:

"Regardless of whether it is included in the index, the Strategy's pace of increasing its Bitcoin holdings is far faster than its corresponding liabilities. Given that Bitcoin is increasingly integrated into the global financial system, the trading price of its actively managed balance sheet should be higher than the underlying value of Bitcoin."

TD Cowen's rating for MSTR remains "Buy," with a target price of 640 USD.

In this regard, Saylor also clarified for the company with numbers that MSTR's annualized return rate reached 92%, which is far superior to the 14% of the S&P 500!

This article reports that MicroStrategy invests another 200 million dollars to buy BTC, with TD Cowen's target price at 640 dollars, first appearing in Chain News ABMedia.