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MicroStrategy shares rose 6.8% to $97.88 after a fifth week without new Bitcoin purchases, while its Bitcoin yield fell to 4.5% and cash reserves hit $3.75 bn.
MicroStrategy (MSTR) shares surged 6.8% to $97.88 on Monday, the highest gain in three days, after the company disclosed it bought no Bitcoin for the fifth straight week and added $525 million to its cash reserve, a move that investors see as reducing balance‑sheet risk despite a falling Bitcoin yield [2].
| At a glance | |
|---|---|
| Stock price | $97.88 |
| 24h move | +6.8% |
| Bitcoin yield | 4.5% (down from 13.3% on May 25) |
| Catalyst | No new BTC purchases; $525 M cash reserve boost |
MicroStrategy reported that its Bitcoin holdings stayed at 843,775 BTC, unchanged from the week ended July 26, and that the average purchase price of its treasury remains $75,476 per coin [2]. The company generated $544.5 million by selling about 5.4 million common shares, using the proceeds to expand its U.S. dollar reserve to $3.75 billion—enough to cover more than two years of its annual dividend and interest obligations of roughly $1.759 billion [2]. The cash buildup offsets concerns that the company might need to issue additional preferred shares (STRC) to meet its $1.76 billion yearly payout, a risk highlighted in its own Q1 filing [1].
Peter Schiff pointed out that MicroStrategy’s “Bitcoin Yield”—the amount of Bitcoin backing each common share—has slumped to 4.5% this year, a 66% decline from the 13.3% level recorded on May 25 [1]. The drop stems from the recent share issuance without accompanying Bitcoin purchases, a pattern confirmed by the 5‑week buying pause [2]. At the current Bitcoin price of about $64,762, the company’s average cost per coin exceeds market price by roughly $10,700, implying an on‑book loss of $8.9 billion [1]. Nonetheless, the stock’s rally suggests investors are valuing the strengthened liquidity more than the immediate yield erosion.
MicroStrategy repurchased 288,930 STRC preferred shares at an average price of $86.52, spending $25 million and trimming less than 0.2% of its $1.76 billion annual dividend liability [1]. The buyback saves an estimated $3.5 million in dividend payments each year, a small offset against the larger cash outflow required to service its preferred‑stock obligations.
The market’s reaction underscores a shift: investors are rewarding MicroStrategy’s liquidity discipline even as its Bitcoin yield erodes, leaving the longer‑term payoff tied to future Bitcoin price movements and the company’s ability to balance capital allocation between cash reserves, share repurchases, and eventual BTC purchases.
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AI-assisted synthesis by the TrendWatcher Editorial Desk · sourced from 2 outlets · Aug 6, 2026 · How we report
Microstrategy Bitcoin, now known as Strategy, is a business intelligence software firm that also operates as a Bitcoin Treasury Company. The firm provides data analysis, reporting, and visualization services while maintaining a large corporate reserve of Bitcoin.
Microstrategy Bitcoin holds more than 550,000 Bitcoins as of the latest reports. This accumulation is part of a corporate strategy to utilize digital scarcity on the company balance sheet.
Microstrategy Bitcoin repurchased $176.3 million of its STRC preferred stock as of September 8, 2026, to reduce future dividend payments and maintain the security near its $100 par value. Management stated that this program is intended to be a disciplined, regular effort to improve the corporate capital structure.
Michael Saylor, Sanju Bansal, and Thomas Spahr co-founded Microstrategy Bitcoin in November 1989. The founders were classmates at MIT.