Raising Another $21B for BTC Buys

Disclaimer: The analyst who co-wrote this piece owns shares of Strategy (MSTR).

Strategy (MSTR) reported a first-quarter 2025 loss of $16.49 after posting a $5.9 billion writedown on its bitcoin stack thanks to a sizable decline in the price of BTC during the year’s first three months.

Led by Executive Chairman Michael Saylor, the company, though, shows no signs of slowing its pace of bitcoin acquisitions. Having used up nearly all of its previous $21 billion common stock offering with its most recent BTC buys last week, the company alongside earnings announced a fresh $21 billion at-the-market offering.

Turning to its software business, revenue for the quarter fell 3.6% to $111.1 million from $115.2 million the year before. Subscription services revenue for the quarter came in at $37.1 million, compared with $23.0 million in the year prior.

During the quarter, Strategy achieved an 11.0% “BTC Yield”, reflecting growth in bitcoin (BTC) holdings relative to diluted shares outstanding. The “BTC $ Gain” for the quarter was around $4.1 billion, moving the company closer toward its target of a $10 billion gain for the year.

The company lifted its long-term target for BTC Yield to 25% from 15% and for BTC $ Gain to $15 billion from $10 billion.

Shares of the company are trading 27% higher year-to-date. Bitcoin is trading around $96,547, about 2.5% higher over the past 24 hours.

Including April purchases, the company holds 553,555 bitcoin acquired for $37.9 billion or $68,459 each. That stack is worth roughly $53 billion at the current price.

“Our capital markets strategy continues to grow our Bitcoin holdings while delivering superior shareholder value. With over 70 public companies worldwide now adopting a Bitcoin treasury standard, we are proud to be at the forefront in pioneering this space.” Phong Le, president and CEO of Strategy, said in a statement.

Shares are marginally higher in after hours trading.