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MicroStrategy Incorporated (MSTR): A Bear Case Theory

We came across a bearish thesis on MicroStrategy Incorporated (MSTR) on wallstreetbets Subredddit page by Stunning_Wishbone767. In this article, we will summarize the bears’ thesis on MSTR. MicroStrategy Incorporated (MSTR)'s share was trading at $229.71 as of Nov 1st.

MicroStrategy (MSTR) appears to be significantly overvalued, with its stock trading at nearly a 250% premium to the value of its Bitcoin holdings. This implies that purchasing MSTR stock is effectively like buying Bitcoin at a drastically inflated rate of $245,000 per coin, over three times its current market value....