TD Cowen raises Strategy target price to $395

According to The Block, TD Cowen analysts raised the target price for Strategy (MSTR) from $385 to $395, implying an increase of over 110% from the current stock price.

Analysts believe that Strategy's increased use of STRC (variable rate perpetual preferred stock) to fund Bitcoin acquisitions significantly enhances capital efficiency and is more attractive than the current market pricing. The company has raised over $2 billion through STRC in the first quarter of 2026, totaling over $5 billion for the year.

TD Cowen also dismissed market concerns about "perpetual dilution," emphasizing that the annual dividend burden of STRC accounts for only about 2.2% of its Bitcoin holdings' value, which can be covered by moderate Bitcoin appreciation.