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MicroStrategy shares fell 58% YoY while the firm bought $2 bn of Bitcoin using high‑yield STRC preferred stock, a $5.58 bn 2026 raise makes it the largest
MicroStrategy (MSTR) shares are trading near $166, a 58% drop from a year ago, even as the company added 24,869 BTC for $2.01 bn, funding the purchase almost entirely with its 11.5%‑yield STRC preferred shares [1].
| At a glance | |
|---|---|
| Stock price | $166 |
| 1‑yr change | –58% |
| BTC held | 843,738 BTC (~$64.8 bn) |
| Funding source | 95.9% STRC preferred stock |
Saylor’s strategy bought 24,869 BTC between May 11‑17 at an average $80,985 per coin, shortly before Bitcoin slipped to about $76,800, creating an immediate paper loss of roughly 5% per coin [1]. The purchase was financed 95.9% by sales of STRC preferred shares, which pay an 11.50% annual dividend, while only 4.1% came from common stock [1]. STRC has raised $5.58 bn in 2026, making it the world’s largest preferred‑stock issue by market cap, and its dividend obligations now cost MicroStrategy about $1.71 bn annually [1].
MicroStrategy’s market cap of $58.6 bn sits $6 bn below the Bitcoin balance sheet value of $64.8 bn, reflecting a mNAV (market‑to‑net‑asset‑value) multiple of 1.24×—down from a peak of 3.89× in November 2024 [2]. The premium collapse has stripped the equity of its “flywheel” advantage: when mNAV is high, new shares raise cash at a premium to Bitcoin value, diluting shareholders less. At today’s 1.24× multiple, issuing common stock adds little Bitcoin per share, so the company relies on high‑yield preferred debt to fund purchases [1][2].
The blended cost basis for the 843,738 BTC is $75,700 per coin; with Bitcoin hovering around $76,800 the portfolio holds roughly $900 m in unrealized gains [1]. A sustained price drop below $75,700 would erase that cushion and push the entire holding underwater for the first time. Meanwhile, the mNAV would need to climb toward 2× before common‑stock issuances become an efficient funding tool again [1].
MicroStrategy’s equity slump underscores how the market now values the company’s operational and brand assets at less than zero relative to its Bitcoin stash. The next move hinges on whether Bitcoin’s price and the mNAV premium can recover enough to make common‑stock financing viable again.
Coverage is mostly measured — 158 of 169 reports stay neutral.
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AI-assisted synthesis by the TrendWatcher Editorial Desk · sourced from 2 outlets · Jun 25, 2026 · How we report
MicroStrategy treats Bitcoin as its primary treasury asset, using a combination of equity and credit instruments to accumulate holdings while managing liquidity for corporate obligations.
While the firm has historically emphasized long-term accumulation, reports indicate that it has engaged in Bitcoin sales to strengthen dollar reserves and cover dividend payments.
The company raises capital primarily through at-the-market sales of common stock and the issuance of perpetual preferred shares.
MicroStrategy stock often mirrors the performance of Bitcoin, with both assets frequently rising or falling in tandem during market shifts.