TD Cowen Boosts Strive Price Target to $56 on Aggressive Bitcoin Buys
TD Cowen has significantly increased its price target for Strive (NYSE: ASST) by 27% to $56, citing the company’s recent aggressive Bitcoin acquisitions that have already surpassed the brokerage’s initial fourth-quarter estimates within the past two weeks. Strive has also expanded its SATS preferred stock offering to 7 million shares, aiming to raise $630 million by October 20th, with all proceeds earmarked for further Bitcoin purchases.
Strive’s Bitcoin Holdings Surge Amidst Market Optimism
The recent surge in Bitcoin buying by asset management firm Strive has reignited bullish sentiment on Wall Street. Analysts Lance Vitanza and Jonnathan Navarrete at TD Cowen raised their price target for Strive from $44 to $56 on Friday. They highlighted that the Bitcoin treasury company acquired more BTC in just 14 days than the brokerage had originally projected for the entire fourth quarter.
Strive’s Bitcoin holdings have rapidly grown from 28,000 coins at the end of September to the current 35,595 coins, valued at approximately $2.9 billion at the current market price of around $81,500 per coin. This expansion includes two substantial purchases: 3,311 BTC (approximately $280 million) reported via an SEC 8-K filing on October 13th, followed by another 2,822 BTC (approximately $235 million) acquired through a separate 8-K filing on October 14th. These transactions have propelled Strive’s Bitcoin holdings to become the fourth-largest among publicly traded U.S. companies, surpassing MARA Holdings (which holds 35,770 coins).
Preferred Stock Offering to Fuel Further Bitcoin Accumulation
TD Cowen analysts specifically pointed to Strive’s ongoing SATS preferred stock public offering, which has been expanded to 7 million shares priced at $90 each, targeting a total of $630 million by its completion on October 20th. This capital infusion is crucial for Strive, as it will enable the company to continue increasing its Bitcoin holdings without diluting its common shareholder equity.
The company also plans to maintain sufficient cash reserves to cover 18 months of preferred stock dividend payments, providing a buffer against potential Bitcoin price volatility. TD Cowen views this as a strategic move that offers both offensive and defensive advantages, with the expanded offering size granting Strive greater flexibility for immediate Bitcoin acquisitions.
Dilution Concerns and Stock Performance
However, Strive’s rapid expansion of its Bitcoin treasury has also introduced a dilutive effect. TD Cowen analysts noted that warrants previously issued at $27 per share are being exercised in large numbers, leading to a significant increase in diluted shares and consequently reducing the BTC Yield (Bitcoin holdings per common share). Some investors have reportedly sold their shares immediately after exercising their warrants, adding pressure to the stock price.
As of Friday’s closing, ASST shares traded at $23.96, marking a 6.6% decline. Despite this, the stock has seen a year-to-date increase of over 38%. TD Cowen believes that with all the $27 warrants now exercised, future dilution pressure is expected to subside, which is a positive signal for the BTC Yield.
Strive’s Strategy and Future Outlook
The “Bitcoin treasury” sector has seen a notable uptick since the latter half of 2026. Strive’s strategy of “buy Bitcoin first, then issue preferred stock for funding” has resulted in the acquisition of nearly 7,600 Bitcoins in less than a month, significantly exceeding TD Cowen’s initial Q4 forecast of only 4,750 coins. This pace is comparable to the long-term buying strategy of Strategy (formerly MicroStrategy), but Strive’s smaller scale and greater flexibility allow for more pronounced short-term adjustments.
Key variables for the market moving forward include the successful completion of the SATS preferred stock offering and Strive’s acceleration of Bitcoin purchases once the funds are secured. If the $630 million is successfully raised, Strive could theoretically add another 7,000 to 9,000 Bitcoins in the next 3 to 6 months, further narrowing the gap with Strategy.
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