Strategy Secures $2.21B Reserves to Fund Preferred Dividend for 10 Months
MSTR•Strategy holds $2.21 billion in cash reserves to fund its preferred stock dividend for ten months without additional funding. The company sold 32 BTC in late May to support its stretch preferred dividend, and preferred shares have slid 23% this month while common stock dropped 8% on June 25 due to dividend funding worries.
1. Cash Reserves to Cover Dividend
Strategy reports total cash reserves of $2.21 billion, sufficient to fund ten months of dividends on its Stretch preferred shares without needing additional capital.
2. Bitcoin Sale to Support Dividends
The company sold 32 BTC at the end of May, raising roughly $2 million to bolster its preferred stock dividend obligations and calm investor concerns.
3. Recent Share Performance
Stretch preferred shares have tumbled 23% this month to $77 per share, while common stock fell 8% on June 25 as investors weigh the risk of dividend funding under the current cash runway.
