Analysts at TD Cowen think shares in Bitcoin treasury firm Strategy (MSTR) could jump as much as 139% to $400 per share in the next 12 months.
The new forecast reflects a $5 per share bump, up from the analysts’ previous $395 price target. TD Cowen’s bullish update comes one day after the company announced it added $2 billion worth of Bitcoin over the previous week.
“Strategy’s treasury operations continue to exceed expectations, with faster-than-anticipated Bitcoin accumulation and accretive balance sheet actions driving higher BTC per share and improved financial flexibility,” TD Cowen analysts wrote.
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Nvidia: Has Jensen Huang really lost his magic?
Nvidia (NVDA) delivered, and the market wasn't impressed. Now it seems like even good results are no longer enough because the company, I guess, is no longer just printing $60 billion in revenue. Remember that was FY2024.
Earlier this year for FY2026, that revenue had gone up to $216 billion, more than 3.5x what they did in FY2024. I guess you could say that the market has now baked in very high expectations on what Nvidia could show us.
Back in March, I highlighted why, when Jensen Huang unveiled the $1 trillion plus revenue opportunity at the Spring GTC, it should have been a blockbuster, but the market was discernibly not that impressed.
Yet I thought it showcased how brilliant Nvidia is in capturing burgeoning market optionalities. It was able to quickly integrate Groq into its tech stack, intensifying its ability to innovate quickly when the market calls for it. And not lose the initiative to other companies that are thinking of penetrating its much vaunted AI market share leadership.
Despite that, the market appears surprisingly not too convinced about Nvidia's prospects. The fact that it has continued to underperform its semiconductor peers since August last year.
Q1 was definitely an important guidepost on how the market feels about its forward outlook. Which is why I think everyone was looking forward to the Vera CPU opportunity potentially reigniting the flames that once enraptured investors every time Jensen Huang and his team were ready to report their quarterly results.
Even with the TAM expansion for the Vera CPUs, it also goes to show Nvidia will not be the leader in that aspect. Then again the $20 billion revenue opportunity is not small. It is actually quite significant.
When you think about the TAM through the rest of the decade reaching $200 billion, that's about just 10%. Even when we have to annualize it over time, Nvidia could grow to be a big player.
But we could see that Intel (INTC), AMD (AMD), and Arm (ARM) are also going to be very significant and capable rivals. So the market share allocation is obviously going to be less one-sided as compared to its AI leadership.
Therefore, with CPUs now gaining traction and becoming the next growth optionality in this AI boom for the semiconductor leaders, it does seem like Nvidia is no longer dominating the zeitgeist, at least on the CPU front.