Here’s Why MicroStrategy Inc. (NASDAQ:MSTR) Is Skyrocketing

We recently compiled a list of the Investor Optimism Boosts Jump of These 10 Stocks. In this article, we are going to take a look at where MicroStrategy Inc. (NASDAQ:MSTR) stands against the other stocks.

Wall Street’s main indices ended Monday’s trading session on a mixed note, with the Dow Jones Industrial Average the only decliner, dipping by 0.06 percent or 25.57 points to close at 42,706.56.

In contrast, the S&P 500 and Nasdaq Composite both registered gains, up 0.45 percent and 1.24 percent, respectively.

Monday’s overall rally was largely driven by strong performances in the bitcoin mining and quantum computing sectors, with 10 companies seeing notable gains.

To come up with the day’s top advancers, we considered only the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume.

A software engineer wearing a headset, collaborating with a remote team on a project.

MicroStrategy Inc. (NASDAQ:MSTR)

Shares of MicroStrategy kicked off the week on a positive note, with the company’s shares rallying by 11.61 percent to end the day at $379.09 apiece buoyed by news that it gobbled up $101 million worth of Bitcoin in the previous days.

According to MicroStrategy, the purchase occurred on December 30 when Bitcoin was trading at only $94,000.

The announcement further fueled optimism after the cryptocurrency’s price on Monday broke past its resistance level of $100,000, reaching a new high of $101,184.

The Bitcoin rally came days before Donald Trump—a pro-Bitcoin incoming president—assumes office on January 20.

If MicroStrategy had sold its positions during Monday’s trading, the company would have realized a 7.6 percent gain.

Overall MSTR ranks 6th on our list of the stocks that soared today. While we acknowledge the potential of MSTR as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than MSTR but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.