Key Insights:
- Strategy used $139.3M in USD Cash to repurchase 1.42M STRC shares.
- Bitcoin holdings stayed at 845,050 BTC, with no purchases, sales, or ATM issuance.
- The $2B digital credit program retains $1.05B of available buying capacity.
Strategy prioritized its preferred stock over fresh Bitcoin purchases last week. The company repurchased $139.3 million of STRC stock from September 8 through September 13. It bought 1,420,467 shares using USD Cash. It also made no at-the-market common-share sales during the period,
Bitcoin holdings stayed at 845,050 BTC for a second consecutive week. The coins cost $63.73 billion in aggregate, or $75,412 per Bitcoin. The company reported $5.10 billion in USD Reserve and $1.30 billion in USD Cash. That decision reflects balance-sheet management rather than a change in its core Bitcoin position.
Strategy Directs USD Cash Toward STRC Stock Buybacks
The filing separates the company’s two dollar pools. The USD Reserve supports preferred dividends and interest on outstanding debt. USD Cash is available for Bitcoin purchases and broader capital-management needs. Strategy used USD Cash for the latest STRC stock repurchase.
At the stated aggregate cost, the transaction works out to near $98 per share. STRC has a $100 stated amount. The company says discounted repurchases can reduce expected dividend payments and improve credit quality. That view depends on the price paid and future market conditions.
STRC refers to Variable Rate Series A Perpetual Stretch Preferred Stock. The latest move follows a $176.3 million STRC repurchase during the prior reporting period. On September 8, the board expanded the Digital Credit Securities Repurchase Program to $2 billion.
The program covers STRC, STRF, STRK, and STRD preferred securities. It does not require purchases and has no stated expiration date. Strategy can modify, suspend, or terminate the authorization.
Bitcoin Holdings Stay Flat While MSTR Stock Tracks Risk
The report shows no Bitcoin purchase or sale for the second straight week. Its 845,050 BTC equal more than 4% of Bitcoin’s 21 million supply cap. The disclosed cost basis remains $63.73 billion, including fees and expenses.
The filing does not give a current market value for the Bitcoin reserve. Therefore, the holding retains direct exposure to BTC price moves. MSTR stock closed Friday at $130.97, down 4.7% for the week, according to TradingView data. Bitcoin fell 3.9% during the same period.
Bitcoin price changes the reserve value, while preferred dividends and capital-market conditions shape the equity-side calculation. No outlook for the next Bitcoin purchase came with the filing.
Strategy did not repurchase MSTR stock during the September 8 to 13 reporting period. Its separate common-stock buyback authorization still totals $1 billion. The company can use that program when management considers MSTR stock below intrinsic value. It also did not sell MSTR shares through its at-the-market program.
Strategy Buyback Program Leaves Room for More Action
Strategy had $1.05 billion available under the Digital Credit Securities Repurchase Program as of September 13. That leaves room for additional STRC stock purchases. The available amount does not commit the company to future transactions.
Available methods include open-market purchases, block trades, privately negotiated transactions, tender offers, and exchange offers. The program considers market conditions, liquidity, legal requirements, and affected securities’ trading prices.
The company has defined STRC as its initial priority when repurchases are accretive. It aims for STRC to trade around its $100 stated amount over time. However, it expressly says it cannot assure that trading range or any particular price.
Management also evaluates the STRC dividend rate each month. Its listed factors include STRC trading levels, market yields, credit spreads, Bitcoin prices, and volatility. USD Reserve coverage and the wider capital structure also form part of that review.
The current filing confirms that cash deployment, not a Bitcoin sale, funded the $139.3 million transaction. It leaves the Bitcoin position intact while reducing the outstanding STRC stock supply.
