Is Strategy Incorporated (NASDAQ:MSTR) a Reddit Stock with High Potential?

By Maham Fatima | April 16, 2025, 9:34 AM

We recently published a list of the 12 Reddit Stocks with High Potential. In this article, we are going to take a look at where Strategy Incorporated (NASDAQ:MSTR) stands against other Reddit stocks with high potential.

On April 15, Monica Guerra, Morgan Stanley Wealth Management Head of US Policy, joined ‘Closing Bell Overtime’ on CNBC to discuss how investors should avoid knee-jerk reactions when it comes to volatility. Monica Guerra pointed out the significance of focusing on President Trump’s statements, as they contribute to market volatility despite their mixed and unclear nature. She acknowledged that deciphering his comments is challenging because they lack clarity but staying attentive to both presidential statements and congressional actions is still crucial. She stressed that policy certainty might emerge once Congress finalizes the budget, which is expected around August this year.

She also emphasized that while the day started positively with markets up by 0.79%, the situation otherwise remains uncertain. She reminded clients that the 90-day reprieve on tariffs is not the end of the story and the ongoing studies on semiconductors could lead to additional pressures related to tariffs and market volatility. Guerra noted that tariff revenues are being considered as funding sources for tax cuts and this interplay between tariffs and taxes could influence market volatility. On discussing future developments in tariff policy, she mentioned that more than 70 countries have approached President Trump in attempts to renegotiate the universal 10% tariff and reciprocal tariffs. She cautioned that even if reciprocal tariffs are eliminated and only the universal tariff remains, additional increases could be highly inflationary. China’s effective tariff rate is already at 145% and adding reciprocal tariffs could push inflationary pressures further.

Guerra advised clients against reacting impulsively to such news and encouraged them to focus on long-term investment goals.

Our Methodology

We sifted through Reddit threads to make a list of the top stocks with the highest analysts’ upside potential (at least 30%) as of April 15. The stocks are ranked in ascending order of their upside potential. We have also added the hedge fund sentiment for each stock, as of Q4 2024. The hedge fund data was sourced from Insider Monkey’s database which tracks the moves of over 1000 elite money managers.

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

Is Strategy Incorporated (NASDAQ:MSTR) a Reddit Stock with High Potential?
A software engineer wearing a headset, collaborating with a remote team on a project.

Strategy Incorporated (NASDAQ:MSTR)

Number of Hedge Fund Holders: 44

Average Upside Potential as of April 15: 76.59%

Strategy Incorporated (NASDAQ:MSTR) provides AI-powered enterprise analytics software and services. It offers these services through Strategy One, HyperIntelligence, and Enterprise Semantic Graph. It offers its services through direct sales force and channel partners. It serves the US government, state and local governments, and government agencies, as well as a range of industries.

The company also engages in Bitcoin development. On February 6, Maxim raised its price target on Strategy Incorporated (NASDAQ:MSTR) to $500 from $480, while maintaining a Buy rating. Maxim believes that the company is better aligned with its dual focus as a Bitcoin treasury company as well as a business intelligence software company. In 2024, the company acquired 258,320 Bitcoin.

As of February 2, the company had a total of 471,107 Bitcoins, which were valued at $46 billion. In 2025, Strategy Incorporated (NASDAQ:MSTR) will prioritize issuing fixed-income securities, with an aim for at least a 15% increase in its Bitcoin holdings and a $10 billion increase in the dollar value of those holdings. The company also plans to raise $42 billion over the next 3 years, particularly the company’s Bitcoin holdings.

Overall, MSTR ranks 1st on our list of the 12 Reddit stocks with high potential. While we acknowledge the growth potential of MSTR, our conviction lies in the belief that AI stocks hold great promise for delivering high returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. 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.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

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

Mentioned In This Article

Latest News