Strategy Preferred Shares Drop 8.2% to $91.79 as Yield Hits 11.5%
STRC•Strategy’s preferred stock plunged to $91.79 on June 16, its third-lowest since July 2025 and 8.2% below $100 par as Bitcoin sits 50% below its $126,000 peak. Yielding 11.50%, it will switch in July to two $0.48 payouts per share each month with seven months of cash cover.
1. Price Decline to Third-Lowest
Strategy’s preferred stock closed at $91.79 on June 16, marking its third-lowest level since trading began in July 2025 and trading 8.2% below the $100 par value it is designed to maintain.
2. High Yield and Cash Coverage
The issue carries an 11.50% annualized yield, one of the highest among public securities, but Strategy’s cash reserves cover only seven months of distributions, raising concerns about dividend sustainability.
3. Bi-Monthly Dividend Shift and Bitcoin Tie
Starting in July, distributions will be split into two $0.48-per-share payouts each month, a move reflecting the preferred stock’s correlation with Bitcoin, which remains 50% below its $126,000 peak.
