Investment bank B. Riley initiated coverage of Bitcoin funding companies Strategy (MSTR) and Strive (ASST) with buy ratings, with target prices of $175 and $12 respectively.
At press time, Strategy was trading at $141.82 and Strive was trading at $8.67.
The bank said in a report released on Monday that the industry was under pressure as Bitcoin fell by more than 45% from about $126,000 in October 2025 to about $69,000 in early March 2026, compressing the market’s premium to net asset value and slowing the pace of equity issuance that drives Bitcoin accumulation.
The correction has put pressure on cryptocurrency-related stocks and funds. Falling Bitcoin prices and broader risk asset sentiment have led to volatility in stocks of digital asset companies, including corporate Bitcoin holders and cryptocurrency-focused investment vehicles.
Strategy remains the largest Bitcoin financial firm, holding 738,731 BTC. The company, led by executive chairman Michael Saylor, made a large number of Bitcoin purchases last week, adding 17,994 Bitcoins at a total cost of $1.28 billion, or $70,946 per Bitcoin.
Analyst Fedor Shabalin said the company has built a “digital credit platform” that combines common stock and five series of perpetual preferred stock that yields 8% to 11.5% and is backed by about $2.25 billion in cash reserves.
The analyst noted that Strategy shares trade at about 1.2 times mNAV, well below a peak of about 3.4 times in 2024, making it an attractive entry point.
mNAV is a metric used to value Bitcoin finance companies by comparing a company’s market capitalization to the value of its holdings of Bitcoin and related assets.
Strive, meanwhile, combines a Bitcoin vault of approximately 13,100 BTC with an asset management business that manages approximately $2.5 billion. The analyst noted that the company is low-leveraged, has a preferred yield of about 12.5%, and is valued at a discount, with the stock trading at about 0.9 times revised net asset value.
The preferred securities issued by these companies may appeal to income-focused investors, given that dividend payouts exceed many traditional income options, the report added.
Read more: The strategy recorded record issuance of STRC shares on Monday, buying approximately 1,420 Bitcoins
