MicroStrategy Stock: Surpasses 500,000 Bitcoin Milestone
MicroStrategy's stock, now trading under the name Strategy, saw a notable 1.9% increase during Tuesday's NASDAQ session, closing at $342.10 after opening at $333.07, with a daily high of $343.33. This positive momentum comes as the company announced reaching a significant milestone: accumulating over 500,000 Bitcoin in its corporate treasury. According to Monday's company statement, Strategy acquired an additional 6,911 Bitcoin for $584.1 million, representing an average purchase price of $84,529 per Bitcoin. Following this acquisition, the company's total Bitcoin holdings stand at 506,137, valued at approximately $33.7 billion, with an overall average purchase price of $66,608 per coin. The stock's performance has remained strong despite reporting a quarterly loss of $3.03 per share in February, trading well above its 52-week low of $101.00 reached on May 2, 2024.
Financing Through Share Sales
To fund its latest Bitcoin purchase, Strategy implemented a strategic financing approach by selling 1,975,000 Class A common shares between Monday and Sunday through an At-the-Market (ATM) offering. This sale generated net proceeds of approximately $592.6 million after deducting sales commissions. The company still has shares valued at roughly $3.57 billion available for sale under this offering. Additionally, Strategy sold 13,100 shares of Series A perpetual preferred stock during the same period, raising an additional $1.1 million in net proceeds. The stock's upward trajectory has been further supported by the broader cryptocurrency market recovery, with Bitcoin reclaiming the $88,000 mark.
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