Strategy Shares Plunge 29% to $81.81 as Market Cap Falls Below NAV
MSTR•Strategy’s shares fell to an annual low of $81.81, erasing 29% last week as Bitcoin prices plunged and driving its market cap below NAV of 1. The company holds $6.75 billion of debt and $15.5 billion of preferred securities while cash covers under one year of dividends.
1. Share Price and NAV Decline
Strategy’s stock slumped more than 3.5% on Friday and hit an annual low of $81.81, completing an eight-session losing streak that erased roughly 29% of its value last week. The selloff drove the company’s market capitalization below the value of its Bitcoin holdings, marking the first time its mNAV ratio fell under 1.
2. Balance Sheet Pressures
The firm carries $6.75 billion in debt and $15.5 billion in preferred securities, while cash reserves cover less than a year of dividend obligations. The disparity between the company’s liabilities and liquid assets has heightened concerns about funding sustainability if Bitcoin prices remain depressed.
3. Management Response and Outlook
Executive chairman Michael Saylor signaled plans to acquire more Bitcoin by sharing an acquisition-tracking chart, though some investors argue selling assets would better shore up the balance sheet. Despite the recent drop, retail sentiment remains in bullish territory with elevated message volumes, reflecting ongoing investor interest.
