Will MSCI Crypto Exclusion Plans Boost Strategy's Near-Term View?

Strategy Inc. MSTR received a noticeable boost after MSCI decided not to move forward with plans to exclude companies holding large digital-asset treasuries from its stock indexes. The decision removes a key near-term risk that had weighed on Strategy’s stock.Following the announcement, Strategy shares rose about 6% in after-hours trading, a meaningful rebound after the stock had slumped roughly 47.5% in 2025. The reaction underscores how sensitive the company is to index-related developments, given its heavy exposure to Bitcoin.MSCI clarified that instead of implementing an immediate exclusion, it will conduct a broader review of how digital-asset-holding companies are treated in its indexes. This is especially important for Strategy, which holds one of the largest bitcoin positions among publicly traded firms.Importantly, MSCI also confirmed that Digital Asset Treasury Companies will remain included in MSCI indexes through the February 2026 review. This assurance reduces near-term uncertainty around index eligibility and provides greater visibility for companies like Strategy over the coming quarters.By stepping back, MSCI has removed a key near-term risk. Continued index inclusion preserves MSTR’s visibility among institutional investors, supports passive-fund demand and reduces forced selling risk. This added stability matters as the company recently reported a massive $17.44 billion unrealized loss on its bitcoin holdings in the fourth quarter of 2025, highlighting the volatility tied to its strategy.Despite the possibility of future review beyond February 2026, MSCI’s pause strengthens investor confidence and improves Strategy’s short-term investment outlook.Growing Crypto Rivalry Puts Pressure on MSTRCoinbase Global COIN competes with Strategy by offering investors indirect exposure to Bitcoin through its trading-driven business model. While its core revenues stem from transaction fees, staking and custody services, Coinbase has also expanded its own bitcoin holdings. During the third quarter of 2025, COIN added $299 million in Bitcoin, taking total investment and collateral crypto assets to $3.6 billion as of Sept. 30, 2025, strengthening its position as a BTC-linked alternative to MSTR.MARA Holdings MARA competes with Strategy using a differentiated crypto model that blends large-scale Bitcoin mining with strategic accumulation. This dual approach allows MARA to generate bitcoin internally while supplementing holdings through purchases. With 52,850 BTC on its balance sheet at the end of the third quarter of 2025, MARA demonstrates significant scale. Its push into the data-center segment further supports earnings stability by offsetting crypto-driven volatility.MSTR’s Price Performance, Valuation & EstimatesOver the past year, Strategy shares have plunged 51.2%, underperforming the Zacks Finance sector’s 19.2% rise and the Financial - Miscellaneous Services industry’s 9.2% fall.MSTR’s One Year Price PerformanceImage Source: Zacks Investment ResearchMSTR has a Value Score of F. It is currently trading at a Price/Book ratio of 0.89X compared to the sector’s 4.4X.MSTR’s ValuationImage Source: Zacks Investment ResearchThe Zacks Consensus Estimate for MSTR’s 2026 earnings is pegged at $51.60 per share, unchanged over the past 30 days, and implies a 33.88% year-over-year decline.Image Source: Zacks Investment ResearchMSTR stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Radical New Technology Could Hand Investors Huge GainsQuantum Computing is the next technological revolution, and it could be even more advanced than AI.While some believed the technology was years away, it is already present and moving fast. Large hyperscalers, such as Microsoft, Google, Amazon, Oracle, and even Meta and Tesla, are scrambling to integrate quantum computing into their infrastructure.Senior Stock Strategist Kevin Cook reveals 7 carefully selected stocks poised to dominate the quantum computing landscape in his report, Beyond AI: The Quantum Leap in Computing Power.Kevin was among the early experts who recognized NVIDIA's enormous potential back in 2016. Now, he has keyed in on what could be "the next big thing" in quantum computing supremacy. Today, you have a rare chance to position your portfolio at the forefront of this opportunity.See Top Quantum Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Strategy Inc (MSTR): Free Stock Analysis Report Marathon Digital Holdings, Inc. (MARA): Free Stock Analysis Report Coinbase Global, Inc. (COIN): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks