Woofun AI reports that Khing Oei, a former Goldman Sachs credit investment specialist, asserts Strategy’s STRC preferred stock is undervalued by 13%, identifying a significant discount between market pricing and intrinsic worth.

The valuation gap stems from Oei’s estimate of a fair value approximately $96 per share, contrasting sharply with the current market price around $85. This analysis evaluates STRC through the lens of a bond, analyzing future cash flows rather than treating it as a perpetual dividend product.

Structurally, the model projects that the dividend could continue to be paid out for roughly 29 years, even if Bitcoin’s price remains stagnant. This durability offers a buffer for income-focused investors wary of Bitcoin-centric companies, suggesting the market is over-penalizing STRC within a traditional financial framework for this digital asset-linked security.

Per Woofun AI, the assessment highlights a potential buying opportunity for those accepting this bond-like valuation, positioning the asset as a fixed-income instrument with a compelling risk/reward profile.

Ultimately, the thesis hinges on specific Bitcoin price assumptions and the financial health of the issuer, requiring investors to weigh this professional opinion against rigorous due diligence.