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Strategy Stock Briefly Trades Below Value of Its Bitcoin as Premium Collapses

Investors question dilution risk from preferred financing.

Overview

  • Shares have fallen roughly 40%–60% across recent windows and briefly slipped below the value of the company’s 641,692 BTC before rebounding above net asset value.
  • The firm added 487 BTC for $49.9 million in recent days, continuing its accumulation despite heightened volatility in Bitcoin, which has traded near $98,000–$105,000.
  • CoinDesk notes the common stock still trades at a premium once preferreds and debt are included, with enterprise value estimated around $75.4 billion and mNAV near 1.19.
  • Management has leaned on preferred issuance to fund purchases, including a dividend increase to 10.5%, fueling concerns over dilution and higher-priority claims ahead of common equity.
  • Some analysts warn that a sustained mNAV below 1 could prompt remedial actions such as selling Bitcoin, even as Michael Saylor promotes a digital treasury and credit model at public events.