H.C. Wainwright reiterates buy rating on Strategy with $250 price target

What happened

H.C. Wainwright analyst Mike Colonnese kept a Buy rating and a $250 price target on Strategy Inc. after its Q3 2026 earnings. Strategy reported $20.9 billion in unrealized gains on digital assets, about $5 billion in USD reserves, a $2 billion preferred stock buyback, and slower Bitcoin purchases.

Confirmed

Global impact / market context

The roughly $5 billion cash cushion covers dividends and interest for more than three years, which means Strategy can keep paying its 12% preferred dividend even if Bitcoin falls. That reduces the risk of forced selling and supports the Buy case despite slower Bitcoin buying.

Analyst inference

Strategy is shifting from pure Bitcoin accumulation toward protecting its balance sheet through preferred share buybacks, which means it is returning capital to preferred holders. Investors watching MSTR now weigh digital asset gains and cash coverage against a slower Bitcoin purchase pace.

Analyst inference

What to watch

1. Watch whether Strategy keeps its 12% annual dividend rate on the STRC preferred shares, since that payout drives the cost of this buyback program. Confirmed
2. Watch whether management resumes modest Bitcoin accumulation as signaled, because faster purchases would raise digital asset exposure and could change the balance sheet mix. Proposed
3. Watch Bitcoin's price, because lower values would shrink the $20.9 billion unrealized gain and could test whether the $5 billion cash reserve still covers obligations comfortably. Analyst inference

Affected assets

• BTC — Bitcoin

Evidence

• cryptobriefing.com