Strategy pauses Bitcoin purchases ahead of Q1 earnings report
- Strategy holds a total of 818,334 BTC, acquired at an average price of $77,906 per coin.
- The company purchased 3,273 Bitcoin for $255 million between April 20 and April 26.
- Analysts expect a quarterly loss of $18.98 per share due to mark-to-market Bitcoin accounting.
- The stock trades under the MSTR ticker, with a consensus rating of “Strong Buy” from analysts despite concerns over dividend sustainability.
- Peter Schiff has raised concerns about the company’s ability to sustain its STRC dividend yield of 11.5%.
Strategy’s decision to pause Bitcoin purchases comes as it prepares for its earnings report, which is anticipated to show significant losses primarily linked to its cryptocurrency holdings. The company’s reliance on dividends from STRC has sparked debate among investors regarding its long-term viability.
With expectations set for an $18.98 loss per share, Strategy’s financial health remains under scrutiny as it navigates the volatile landscape of Bitcoin investments and market conditions.(Source)
