MSTR and SMLR: Brett Knoblauch Picks the Best Bitcoin Treasury Stocks to Buy

MicroStrategy Incorporated 10.00% Series A Perpetual Strife Preferred Stock

Semler Scientific

-6.50%

MicroStrategy Incorporated 8.00% Series A Perpetual Strike Preferred Stock

MicroStrategy Incorporated 8.00% Series A Perpetual Strike Preferred Stock

Cryptocurrency has come a long way since Bitcoin’s debut in 2009. Over the past decade and a half, the space has captured global attention, dominated headlines, and gone through wild cycles of boom and bust. Today, thousands of cryptocurrencies circulate on the market, and while global regulation is still taking shape, under the new administration the U.S. framework is advancing rapidly in a distinctly positive direction.

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For investors looking to cut through the noise, one compelling option lies in Bitcoin treasuries. These are public companies that hold Bitcoin as a strategic asset, aiming to benefit from its long-term value appreciation.

Covering the sector for Cantor, analyst Brett Knoblauch gives us the background and points the way toward finding sound investments.

“What makes a good Bitcoin treasury company? A successful Bitcoin treasury company needs access to capital. Without capital, they simply cannot acquire Bitcoin. The amount of capital a company has access to in this space is largely driven by trading liquidity. For shares to have a relatively high amount of volume, we believe they need to have a management team that carries weight in the crypto ecosystem,” Knoblauch opined. “However, not all Bitcoin treasury companies are created equal, and we believe some offer better risk/reward than others.”

The Cantor digital expert goes on to put his background research to work – and he’s tagged Strategy (NASDAQ:MSTR) and Semler Scientific (NASDAQ:SMLR) as two of the best bitcoin treasury stocks to buy right now. Let’s give them a closer look and find out what makes these stocks so compelling.

Strategy

The first stock on our list is MSTR. Formerly known as MicroStrategy, the company rebranded itself earlier this year as Strategy, and its stylized ‘B’ logo points to the company’s core work. Strategy is a Bitcoin treasury, but more importantly, it was the first Bitcoin treasury. The company has been buying up Bitcoin since 2020, and today its holdings total 607,770. At current prices, that digital asset is worth approximately $72 billion. Strategy is the world’s largest corporate holder of Bitcoin.

As a Bitcoin treasury, some of Strategy’s vital stats are a bit different than those of most other public companies. A look at the last quarterly report, covering 1Q25, shows this. Strategy reported strong results on several important KPIs related to its Bitcoin business. These include the ‘BTC Yield,’ which was listed as 13.7%; the ‘BTC Gain’ of 61,497; and the ‘BTC $ Gain’ of $5.8 billion. These performance indicators were given ‘year-to-date,’ as of April 28, and show that Strategy’s bitcoin treasury business was performing well in the first four months of this year.

In addition to its expanding role as a Bitcoin treasury, Strategy also maintains a legacy software business – and boasts that it is the world’s largest ‘independent, publicly traded business intelligence company.’ The company provides cloud-native business intelligence software solutions, along with AI-powered, enterprise-scale data analytics services, for subscription customers. The company generated $111 million in revenue from its software business during the first quarter, a total that was down 3.6% year-over-year. Within that figure, subscription revenue rose 61.6% year-over-year, to reach $37.1 million. Strategy will announce Q2 earnings today (July 31) after the close.

For Cantor’s Knoblauch, the key point here is Strategy’s role as the largest Bitcoin treasury. The analyst notes that this company was the first into that niche, and had taken a large lead – which bodes well for Strategy’s future. Knoblauch writes, “MSTR created the segment, and it has a Bitcoin stack that is unlikely to ever be matched by another entity. Assuming MSTR acquires ~$20bn worth of BTC a year, this puts MSTR on track to reach 1m BTC in just over three years, and that assumes BTC compounds at a 30% CAGR. The sheer size of MSTR’s BTC stack combined with capital markets innovation makes MSTR a must-own name in this space, in our view. If BTC is going to $1m, which we think is highly likely at some point in the future, MSTR could be one of the largest companies in the world.”

These comments back up the analyst’s selection of MSTR as his top Bitcoin treasury pick, and his Overweight (i.e., Buy) rating on MSTR. The analyst’s $680 price target indicates potential for a 72% upside in the year ahead. (To watch Knoblauch’s track record, click here)

Strategy has earned a Strong Buy consensus rating from the Street’s analysts, based on 12 recent reviews that feature a lopsided split of 11 Buys to 1 Sell. The stock is priced at $395.04, and its $547.75 average price target implies a one-year upside potential of 39%. (See )

Semler Scientific

The next stock on our list, Semler Scientific, has an interesting similarity to Strategy – like the Bitcoin treasury leader, Semler Scientific got its start in a different field and came to the Bitcoin treasury niche later on. Semler started out in the medical sciences field, as a developer and provider of innovative medical products and services. On this side, the company’s chief product is QuantaFlo, an FDA-cleared point-of-care product used in the early diagnosis of vascular disease. The device has been found helpful in diagnosing asymptomatic patients.

In May 2024, however, Semler started to chart a new path by purchasing Bitcoin to hold as a digital asset. Since then, the company has amassed 5,021 bitcoins in its holdings, which are worth approximately $595 million. This makes Semler the 15th largest Bitcoin treasury on the global scene and the fourth largest in the US. Semler has an aggressive Bitcoin purchase strategy and aims to hold at least 10,000 bitcoins by the end of this year – and to acquire 105,000 by the end of 2027. The company’s purchase plan is based on a combination of equity, debt financing, and operational cash flows.

Along with its aggressive purchase plan, Semler is also packing its Board of Directors with Bitcoin experts. The latest addition, announced this past June, is bitcoin market researcher Joe Burnett. Burnett has a reputation as an unabashed booster of Bitcoin as an advanced digital asset.

Turning to the company’s last earnings report for 1Q25 and its bitcoin KPIs, we find that Semler’s BTC yield through May 12 this year came to 22.2%; its BTC gain for the same period was 510.3; and its BTC $ gain, also through May 12 this year, came to $52 million.

Semler reported $8.8 million in revenue for Q1, down 44% from the prior-year period. We should note that in 1Q24, Semler’s primary business was still in the medical field; its switch to a Bitcoin treasury-centered strategy came during the second quarter of last year.

Knoblauch, in his write-up of Semler, is impressed by the company’s ability to swiftly embrace this new field and to quickly amass a significant bitcoin holding. He says of the company, “SMLR was the second company in the US to pursue a Bitcoin treasury strategy. Unlike MSTR, whose core business is to raise capital and buy Bitcoin, SMLR was using excess cash on its balance sheet to acquire Bitcoin. More recently, it began raising money to buy Bitcoin… SMLR has increased its focus on Bitcoin, as it has recently hired a new Chief Bitcoin Officer (Joe Burnett) and added Natalie Brunell, a top-rated Bitcoin podcast host, to its BoD. The company is targeting 105k Bitcoin by the end of 2027E, and given this target, SMLR being one of the least expensive Bitcoin treasury names, we think risk/reward is attractive.”

Knoblauch rates SMLR as Overweight (i.e., Buy), with a $61 price target that suggests the shares will gain 70% over the next 12 months.

All 3 of the recent reviews on SMLR are positive, giving the stock a unanimous Strong Buy consensus rating. The stock is currently trading for $35.91, and its average price target of $85.67 implies an upside potential of a hefty 138.5% for the year ahead. (See )

To find good ideas for stocks trading at attractive valuations, visit TipRanks’ Best Stocks to Buy, a tool that unites all of TipRanks’ equity insights.

Disclaimer: The opinions expressed in this article are solely those of the featured analysts. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.

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Saylor’s New $4.2 Billion Bitcoin Plan Aims to Reassure Skeptics

Bloomberg

MicroStrategy Incorporated 10.00% Series A Perpetual Strife Preferred Stock

MicroStrategy Incorporated 10.00% Series A Perpetual Stride Preferred Stock

(Bloomberg) -- Michael Saylor isn’t backing down. The Strategy co-founder is preparing to sell $4.2 billion more in preferred stock to fuel his latest Bitcoin bet — while throwing a lifeline to investors worried he’s diluting them into oblivion.

The plan, unveiled with second-quarter earnings on Thursday, is Saylor’s latest answer to the big question hanging over his stock: how long can he keep using a lofty premium to fund ever-larger Bitcoin buys?

To reassure shareholders, Strategy pledged it won’t issue new common shares at less than 2.5 times its net asset value, except to cover debt interest or preferred dividends. At the same time, Saylor will keep tapping the market “opportunistically” when the premium is high, turning equity sales into fresh Bitcoin buys.

The move does two things at once: it locks in a floor aimed at reassuring any skeptical shareholders and arms the company with a larger war chest to keep buying Bitcoin. It’s a double play that pits Saylor directly against hedge fund managers like Jim Chanos, who have been betting the company’s premium will collapse.

“That would put common shareholders who are concerned about potential dilution at ease,” said Brian Dobson, managing director for Disruptive Technology Equity Research at the brokerage firm Clear Street. “The market is reacting positively to Strategy’s equity products. The demand is there as evidenced by their substantial capital raises.”

It’s the latest in a string of financial maneuvers that have transformed a once-obscure software firm into a leveraged Bitcoin proxy.

The dual move showcases Saylor’s mastery of capital markets during these bullish digital-asset times: using a self-imposed floor to placate critics, while simultaneously arming the company with fresh ammunition to keep buying Bitcoin.

The company - which is known formally as MicroStrategy Inc. — has already raised more than $10 billion this year through stock and structured offerings, feeding a balance sheet now holding $74 billion in Bitcoin. Its stock has surged 3,300% since Saylor’s first crypto purchase, outpacing Bitcoin itself and forcing hedge funds into a high-stakes battle over whether his premium-fueled strategy can last.

Since Strategy’s first Bitcoin purchase in 2020, Saylor has sold equity, issued various types of debt and layered stacks of preferred shares on top. In the process, he has encouraged a fleet of imitators and spurred a new industry of public companies following a so-called treasury strategy dedicated to buying and holding cryptocurrencies.

Good Times

Since Strategy trades so far above the value of its Bitcoin, the company can sell stock at rich levels, buy more Bitcoin, and in turn reinforce that premium. It’s a reflexive loop that critics warn would snap if sentiment shifts. For now, Saylor’s ability to turn equity markets into a Bitcoin funding engine has made his firm both a proxy for the cryptocurrency and a pressure point for critics betting the spread will collapse.

The company reiterated that it registered an unrealized gain of about $14 billion in the second quarter. After factoring in deferred taxes, the Bitcoin treasury company had net income of $10 billion, or $32.60 a share, the firm said in a statement. The eye-catching benefit, first disclosed at the start of the month, was due to a rebound in Bitcoin’s price and a recent accounting change.

Demand for offerings can fluctuate depending on Bitcoin prices. The firm had to sweeten one of its earlier preferred stock offerings this year with a steep discount to win over price‑sensitive buyers.

Just last week the company launched a new kind of preferred stock, dubbed Stretch, that was upsized from $500 million to more than $2 billion. It was yet another move that showed how deftly Saylor can turn financial engineering into crypto firepower. For now at least.

“Strategy’s upsize is a huge reflection on the market demand for its Stretch Preferred Stock offering,” said Tyler Evans, co-founder and chief investment officer of UTXO Management. “They have had similar upsizes from previous preferred stock offerings, but this one is an eye-popping number.”

--With assistance from Kirk Ogunrinde.

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MSTR: Record Q2 2025 earnings and robust BTC-driven growth position the company as a market leader

Quartr

MicroStrategy Incorporated Variable Rate Series A Perpetual Stretch Preferred Stock

-0.01%

MicroStrategy Incorporated 10.00% Series A Perpetual Stride Preferred Stock

MicroStrategy Incorporated 10.00% Series A Perpetual Strife Preferred Stock

MicroStrategy Incorporated 8.00% Series A Perpetual Strike Preferred Stock

MicroStrategy Incorporated 10.00% Series A Perpetual Strife Preferred Stock

Record Q2 2025 results with $14B operating income and $10B net income, driven by bitcoin holdings and fair value accounting. 2025 guidance projects $34B operating income and $24B net income, with continued strong capital raising and market leadership in BTC exposure.

Original document: Strategy Inc [MSTR] Slides Release — Jul. 31 2025

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This is an AI-generated summary and may contain inaccuracies. Please verify any important information with the original source.

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MicroStrategy’s (NASDAQ:MSTR) Q2 Sales Top Estimates

StockStory

MicroStrategy Incorporated 8.00% Series A Perpetual Strike Preferred Stock

MicroStrategy Incorporated 10.00% Series A Perpetual Stride Preferred Stock

Business analytics software company MicroStrategy (NASDAQ:MSTR) reported Q2 CY2025 results exceeding the market’s revenue expectations , with sales up 2.7% year on year to $114.5 million. Its GAAP profit of $32.60 per share was significantly above analysts’ consensus estimates.

Is now the time to buy MicroStrategy? Find out in our full research report.

MicroStrategy (MSTR) Q2 CY2025 Highlights:

Revenue: $114.5 million vs analyst estimates of $113.1 million (2.7% year-on-year growth, 1.2% beat)
EPS (GAAP): $32.60 vs analyst estimates of -$0.07 (significant beat)
EPS (GAAP) guidance for the full year is $80 at the midpoint, beating analyst estimates by 596%
Operating Margin: 12,256%, up from -180% in the same quarter last year
Market Capitalization: $112 billion

“In the second quarter and into July, Strategy delivered another period of exceptional execution and growth. We expanded our bitcoin holdings to 628,791 bitcoins, raised over $10 billion through our ATM programs and IPOs, and saw growing institutional and retail demand for our securities. STRC, our short duration, high yield credit instrument, which was our largest ever IPO, demonstrates how we amplify our bitcoin holdings through intelligent leverage. Our overall capital raising activities have resulted in our Bitcoin per Share ('BPS') increasing by 25% year-to-date and as a result we are raising our full year BTC Yield and BTC $ Gain KPI targets to 30% and $20 billion, respectively. These achievements underscore the scale of our Bitcoin treasury strategy and the strength of our capital markets platform. In this release, we are also publishing a capital markets framework, which provides a clear structure for how we intend to raise capital to increase our bitcoin balance sheet and grow long-term shareholder value,” said Phong Le, President and Chief Executive Officer.

Company Overview

Founded in 1989 with an initial contract with DuPoint, MicroStrategy (NASDAQ:MSTR) started as a data mining and business intelligence software platform, but in 2020, the company made waves by investing heavily in Bitcoin.

Note that our analysis is rooted in fundamentals, not Bitcoin-driven technicals.

Revenue Growth

A company’s long-term sales performance can indicate its overall quality. Any business can put up a good quarter or two, but many enduring ones grow for years. MicroStrategy’s demand was weak over the last three years as its sales fell at a 2.8% annual rate. This was below our standards and suggests it’s a lower quality business.

This quarter, MicroStrategy reported modest year-on-year revenue growth of 2.7% but beat Wall Street’s estimates by 1.2%.

Looking ahead, sell-side analysts expect revenue to grow 1.5% over the next 12 months. Although this projection indicates its newer products and services will spur better top-line performance, it is still below average for the sector.

Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we’ve identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link.

Cash Is King

Although earnings are undoubtedly valuable for assessing company performance, we believe cash is king because you can’t use accounting profits to pay the bills.

MicroStrategy’s demanding reinvestments have drained its resources over the last year, putting it in a pinch and limiting its ability to return capital to investors. Its free cash flow margin averaged negative 23.2%, meaning it lit $23.18 of cash on fire for every $100 in revenue. This is a stark contrast from its operating margin, and its investments (i.e., stocking inventory, building new facilities) are the primary culprit.

MicroStrategy Trailing 12-Month Free Cash Flow Margin

Key Takeaways from MicroStrategy’s Q2 Results

We were impressed by MicroStrategy’s optimistic full-year EPS guidance, which blew past analysts’ expectations. We were also happy its revenue narrowly outperformed Wall Street’s estimates. Zooming out, we think this quarter featured some important positives. The stock traded up 1.2% to $406.38 immediately following the results.

MicroStrategy put up rock-solid earnings, but one quarter doesn’t necessarily make the stock a buy. Let’s see if this is a good investment. The latest quarter does matter, but not nearly as much as longer-term fundamentals and valuation, when deciding if the stock is a buy. We cover that in our actionable full research report which you can read here, it’s free.

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MicroStrategy stock rises after announcing $4.2 billion ATM program

Investing.com

MicroStrategy Incorporated 10.00% Series A Perpetual Strife Preferred Stock

MicroStrategy Incorporated 8.00% Series A Perpetual Strike Preferred Stock

Investing.com -- MicroStrategy (NASDAQ:MSTR) stock rose 2% in after-hours trading on Thursday following the company’s announcement of a new at-the-market (ATM) offering program worth up to $4.2 billion.

The business intelligence firm, which has become known for its significant bitcoin holdings, plans to sell shares of its Variable Rate Series A Perpetual Stretch Preferred Stock (STRC Stock) over an extended period. The company stated it will take a "disciplined manner" to these sales, considering trading price and volumes at the time of sale.

According to the announcement, MicroStrategy intends to use the net proceeds from the ATM program for general corporate purposes, including bitcoin acquisitions and working capital. The company may also allocate funds toward cash dividends on outstanding preferred shares, excluding the STRC Stock.

The sales will be conducted through methods defined as "at the market offerings" under SEC Rule 415(a)(4), which may include negotiated transactions or block trades. The offering is being made pursuant to a prospectus supplement filed with the SEC on July 31, 2025, under an existing shelf registration statement that became effective earlier this year.

MicroStrategy has transformed its business strategy in recent years, becoming one of the largest corporate holders of bitcoin. This latest financing initiative appears to continue the company’s focus on building its cryptocurrency position while maintaining operational flexibility.

The stock trades under multiple tickers on the Nasdaq exchange, including MSTR, STRK, STRF, STRD, and STRC.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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MSTR: Record net income and EPS fueled by bitcoin gains and robust capital markets execution

Quartr

MicroStrategy Incorporated Variable Rate Series A Perpetual Stretch Preferred Stock

-0.01%

MicroStrategy Incorporated 10.00% Series A Perpetual Stride Preferred Stock

MicroStrategy Incorporated 10.00% Series A Perpetual Strife Preferred Stock

MicroStrategy Incorporated 8.00% Series A Perpetual Strike Preferred Stock

Record Q2 net income and EPS driven by bitcoin gains and capital markets activity, with FY2025 guidance raised for operating income, net income, and BTC-related KPIs. Significant capital raised through equity and preferred stock offerings supports continued bitcoin accumulation.

Original document: Strategy Inc [MSTR] SEC 8-K Current Report — Jul. 31 2025

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This is an AI-generated summary and may contain inaccuracies. Please verify any important information with the original source.

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MSTR: Q2 net income surged to $10.02B on $14.05B unrealized bitcoin gains, with 597,325 bitcoins held

Quartr

MicroStrategy Incorporated Variable Rate Series A Perpetual Stretch Preferred Stock

-0.01%

MicroStrategy Incorporated 10.00% Series A Perpetual Stride Preferred Stock

MicroStrategy Incorporated 10.00% Series A Perpetual Strife Preferred Stock

MicroStrategy Incorporated 8.00% Series A Perpetual Strike Preferred Stock