Why Is Strategy Stock Surging on Tuesday? - Strategy (NASDAQ:MSTR)

Strategy Inc. (NASDAQ:MSTR) surged on Tuesday, driven mainly by a Canaccord Genuity upgrade, a new $2 billion liquidity pool, and momentum tied to Bitcoin’s rebound. Canaccord maintained a Buy rating and raised its price target from $130 to $175. Strategy also raised capital through stock sales between Aug. 17 and Aug. 23, according to a Monday 8-K: it sold 18.26 million MSTR units, allocating $300 million to its USD Reserve, $136.4 million to repurchase 1.43 million STRC preferred shares, and $1.59 billion to USD Cash. Management said USD Cash is flexible versus the restricted reserve. Strategy reported $6.69 billion in total dollar liquidity and no Bitcoin trades during the week, holding 840,447 BTC at an average $75,385.