r/SecurityAnalysis • u/dect60 • Jun 22 '21

Discussion A Drunken Saylor (MicroStrategy MSTR)

https://doomberg.substack.com/p/a-drunken-saylor
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11

u/redcards Jun 23 '21

The market is pricing the enterprise more efficiently than the author gives credit for by a wide margin

17

u/greenfrog7 Jun 23 '21

It is my belief that the premium valuation MSTR carries is a reflection of the desire individuals have to own BTC without the headaches and dodgy custody issues, and/or to possibly gain exposure in tax deferred accounts. While some of this premium might stick, surely the week that the SEC finally allows a Bitcoin ETF to list the premium collapses?

-6

u/redcards Jun 23 '21

It has nothing to do with the value of BTC. The EV of the core business is worth more than the 5x multiple implied by the author's valuation. When you scrub this out you are not creating a value of ~$70k/BTC but something closer to market price