Svmuu News Investment bank B. Riley has initiated coverage on Bitcoin treasury companies Strategy and Strive, assigning both a Buy rating with price targets of $175 and $12, respectively.
The report notes that the Bitcoin treasury sector experienced a decline after Bitcoin's price fell from around $126,000 in October 2025 to approximately $69,000 in early March 2026, leading to a market valuation reset. This has slowed equity issuance but also created opportunities for new digital credit financing models, which could aid the sector's recovery.
As of the time of writing, Strategy's stock price is $141.82, with holdings of 738,731 Bitcoins. Strive's stock price is $8.67, with Bitcoin assets of approximately 13,100 coins and assets under management of about $2.5 billion. Strategy made a significant purchase of 17,994 Bitcoins last week at a total cost of approximately $1.28 billion (average price of $70,946 per coin).
Analysts pointed out that Strategy has built a "digital credit platform" combining common stock with five series of perpetual preferred stock (yielding 8%–11.5%), with a cash reserve of about $2.25 billion. The current stock price is approximately 1.2 times its modified net asset value (mNAV), significantly lower than the peak of around 3.4 times in 2024, presenting an attractive buying opportunity. Strive attracts investors with its low leverage, preferred stock yield of about 12.5%, and discounted valuation (approximately 0.9x mNAV).
The report added that the preferred stock yields issued by both companies are higher than many traditional fixed-income instruments, which is expected to attract yield-seeking investors. (CoinDesk)