Strategy has repurchased 1.42 million preferred shares for $139.3 million using its cash reserves while maintaining its massive Bitcoin holdings of 845,050 tokens valued at $65.7 billion.

Key Points

• Strategy utilized $139.3 million from its $6.4 billion cash reserve to buy back 1.42 million preferred shares.
• The company’s Bitcoin holdings remain unchanged at 845,050 BTC, representing approximately 4% of the total global supply.
• Strategy’s average acquisition cost per Bitcoin is currently $75,412, resulting in an estimated $2 billion paper gain.
• Preferred shares issued by the company currently offer a 12% dividend yield paid twice per month.
• MSTR stock has experienced a 60% decline over the past 12 months, recently trading at $130.97 per share.

Why it Matters

This shift in capital allocation suggests the company is prioritizing the stabilization of its preferred stock price and dividend obligations over further aggressive Bitcoin acquisitions. By leveraging its substantial cash reserves, the firm aims to support shareholder value amid a period of significant volatility in its equity performance.