Bitcoin’s on Fire! But Strategy Stock? Not So Much… 🤔

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What to know:

  • So, Strategy’s mNAV is down to 1.80. I mean, come on! It’s like watching your favorite show get canceled. 😩
  • They just bought some BTC, but look at the funding: 81.7% common stock, 15.9% STRK, and 2.4% STRF. Sounds like a bad buffet choice! 🍽️

Since the start of the month, we’ve got a real drama unfolding between bitcoin and the bitcoin-HODLer Strategy (MSTR). Bitcoin’s up about 13%, almost hitting $110,000, while MSTR shares? They’ve slipped 3% to around $372. Talk about a plot twist! 🎢

This gap is getting wider, and it’s raising eyebrows about how people feel about the company that was supposed to be the big shot in the bitcoin treasury game. They were the pioneers, but now? Their stock isn’t keeping up with bitcoin’s latest party. 🎉

And here’s the kicker: over 113 public companies are now holding bitcoin. That’s 11 new players in just 30 days! It’s like a new season of a reality show, and Strategy’s losing its star power. 📉

Strategy’s market premium is shrinking, which means their early-mover advantage is fading faster than my patience in a long line. ⏳

Now, their mNAV has dropped to 1.80, one of the lowest in a year. It’s like they’re trying to win a race but forgot to put gas in the car! ⛽

This number comes from dividing the enterprise value (EV) by the market value of their bitcoin holdings. The EV includes MSTR’s market cap, convertible debt, and preferred shares, minus their cash balance. Simple math, right? Or is it? 🤷‍♂️

A lower mNAV means they can’t issue new equity without diluting existing shareholders. But hey, at least it’s still above 1x. So, there’s that! 🙄

And let’s not forget their recent 4,020 BTC purchase, the smallest since May 5. They financed it with common stock and preferred securities — 81.7% from common stock, 15.9% from STRK, and 2.4% from STRF. Sounds like they’re trying to juggle too many balls at once! 🤹‍♂️

This diversification shows they’re trying to be clever with their funding, maybe to avoid diluting shareholders and to raise capital in this tight mNAV situation. But will it work? Who knows! 🤔

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2025-05-28 12:26