National Pension Service buys 24,500 MicroStrategy shares after company's significant Bitcoin investment

From Nasdaq Corporation

August 16, 2024 5:44 PM:

Institutional investors like the National Pension Service are delving into the world of cryptocurrencies, purchasing 24,500 shares of MicroStrategy for $33.75 million. This move comes after MicroStrategy’s acquisition of 226,500 BTC valued at $13.27 billion, a 65% increase from its original investment in Bitcoin. Other major investors, including central banks, have also shown interest in MicroStrategy.

The National Pension Service’s investment in MicroStrategy is the second major investment in a crypto-focused company after acquiring shares in Coinbase last year. With $51 million in Coinbase shares, NPS has seen a 150% surge in value over the past year. This shows a growing trend of institutional investors entering the crypto market.

Analysts on Wall Street have a Strong Buy consensus rating on MSTR stock, with an average price target of $220.67 per share, indicating a potential 65.05% upside from current levels. Despite the growth potential, investors should be cautious about risks associated with MicroStrategy’s debt-fueled Bitcoin acquisitions, as market volatility could lead to financial challenges for the company in the future.

Read more at Nasdaq.: Major Pension Fund Buys MicroStrategy (NASDAQ:MSTR) Shares