Strategy MSTR stock has surged over the past week as the company resumed Bitcoin purchases and Michael Saylor addressed investor concerns over possible Bitcoin sales tied to dividend obligations. Strategy, formerly known as MicroStrategy, bought 535 Bitcoin for about $43 million between May 4 and May 10, according to a May 11 filing with the U.S. Securities and Exchange Commission. The company paid an average price of about $80,340 per Bitcoin. The purchase raised Strategy’s total holdings to 818,869 BTC. The company acquired the position for about $61.86 billion at an average cost of roughly $75,540 per Bitcoin, including fees and expenses. With Bitcoin trading above $81,000, the company’s latest purchase and broader treasury position are currently above their average purchase cost. Funding for the latest purchase came from at-the-market sales of Strategy’s Class A common stock and its perpetual Stretch preferred stock, known as STRC. The company raised about $42.9 million through those sales during the same period. MSTR shares closed Friday at $187.59 after rising 9.8% during the week. The stock also gained in pre-market trading on Monday after the Bitcoin purchase announcement. Despite the recent rebound, shares remain well below their summer 2025 peak. Strategy Resumes Bitcoin Buying After Earnings Pause The latest purchase followed a one-week pause around Strategy’s first-quarter earnings release. Saylor had signaled the return to buying activity on X with a “Back to work” post alongside the company’s Bitcoin acquisition tracker. Strategy reported a large first-quarter net loss, driven mainly by unrealized markdowns on its Bitcoin portfolio under updated accounting treatment. The company’s results also brought attention to its financing structure and dividend obligations tied to preferred shares. During the earnings call, Saylor said Strategy may sell small amounts of Bitcoin in the future to fund dividends or manage debt obligations, if doing so remains beneficial on a Bitcoin-per-share basis. The comment drew attention because Saylor has long promoted a “never sell” approach to Bitcoin. In later interviews, Saylor said the possible sale of Bitcoin should be viewed as capital management rather than a change in Strategy’s accumulation policy. He said that if Strategy sold one Bitcoin, it could buy 10 to 20 more Bitcoin through its broader financing strategy. Saylor said the company focuses on increasing Bitcoin per share for common shareholders. He described BTC Yield as one of the company’s main internal measures when comparing financing options, buybacks, debt management, and Bitcoin purchases. STRC Financing Draws Investor Attention STRC has become an important part of Strategy’s capital-raising model. The Stretch preferred stock carries an annual dividend rate of about 11.5% and is designed to trade near a $100 par value. Saylor said STRC differs from a traditional bond because it is perpetual and does not give holders the right to force redemption. He said the instrument gives Strategy permanent capital while leaving liquidity to the market rather than requiring the company to redeem shares on demand. Strategy has also proposed shifting STRC dividend payments from monthly to semi-monthly. The company has said the change could reduce reinvestment delays, support liquidity, and improve price stability. The company operates several preferred stock programs, including STRK, STRC, STRF and STRD. These instruments support Strategy’s broader capital-raising plan, which targets $84 billion through equity and convertible debt offerings by 2027. Saylor said the company adjusts its capital markets activity depending on Bitcoin prices, stock premiums, credit conditions, and available yield opportunities. He rejected criticism that Strategy buys weekly Bitcoin highs, saying the company often raises capital when MSTR trades at a wider premium and then uses that capital to acquire BTC. Peter Schiff Criticizes STRC Risk Profile Peter Schiff, a long-time Bitcoin critic, renewed criticism of Strategy’s financing model after Saylor’s comments. Schiff said STRC is high risk and questioned whether it is suitable for retirees seeking capital preservation and income. Schiff argued that Saylor’s public comments could raise legal questions if investors lose money in STRC. He has also described STRC as a centralized Ponzi-like structure, separate from his criticism of Bitcoin itself. Saylor has rejected that framing. He has argued that Bitcoin is digital capital and that Strategy uses equity and credit instruments to acquire more of that asset. In his view, preferred stock products such as STRC are part of a capital structure built around long-term Bitcoin ownership.
