Strategy Is Up 53% in the Past Month. Here's the Bull and Bear Case for One of Wall Street's Most Polarizing Stocks.

Key Points

• As they have done in the past, Strategy shares can outperform Bitcoin.

• Access to capital markets can dry up, harming Wall Street sentiment toward the company.

• Besides buying Bitcoin directly, risk-seeking investors can initiate a tiny position in Strategy.

The world has never seen a corporate transition quite like that of Strategy(NASDAQ: MSTR). The enterprise software and data analytics business has morphed into the world's leading Bitcoin(CRYPTO: BTC) treasury company, meaning its main business in buying and holding the cryptocurrency. The prominent digital asset is exactly what defines Strategy's story now: Its holdings are currently valued at $64.5 billion, 92% of the total enterprise value.

During the past month, this cryptocurrency stock has climbed 53% (as of Sept. 18). The momentum is noteworthy, riding on the back of Bitcoin's 25% climb. However, Strategy shares remain extremely volatile, and they trade 58% below their all-time record.

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