Strategy (MSTR) stock has been arguably one of the worst performers on the US stock market in the past 8 months, with consecutive months of decline. The Michael Saylor-led firm has suffered from its Bitcoin-first investment plan that previously sent it to record-valuations. The stock, currently trading below $130, is down roughly 70% from its November 2024 record high of around $540. At the same time, Bitcoin BTC has fallen to sub-$75,000.

By the end of 2025, the stock had fallen 48% for the year, its second-worst annual performance on record. The worst year remains 2022, when shares declined 75%. Despite the dip, the firm remains adamant on buying into BTC, with millions invested into the asset already in 2026.

The company’s multiple to net asset value (mNAV), calculated by dividing enterprise value by its bitcoin reserves, remains above 1 at 1.09. This means Strategy is able to continue selling common stock through at-the-market offerings to buy bitcoin. However, if the stock drops further, future bitcoin purchases are likely to be smaller. Should mNAV fall below 1, the company may be forced to pause purchases and wait for a rebound.

Furthermore, analysts express concerns regarding MicroStrategy’s sustainability as its Bitcoin accumulation strategy increases reliance on capital markets, potentially eroding shareholder value. Crypto bills and regulatory decisions in the US have helped crypto stocks like MSTR and Coinbase (COIN) in recent months. Should new bills favoring crypto be passed by the US Government, cryptocurrencies like BTC and ETH could rally, which would in turn send Strategy (MSTR) and other crypto stocks higher too. However, right now the rest of 2026 looks bleak.

Analysts are optimistic about MicroStrategy’s potential, with several maintaining high price targets well above the current price of $129. Maxim Group leads with a $500 target, indicating significant upside potential.