Key Takeaways
- STRK raised $59.7 million in a record weekly issuance.
- The stock is up 16% since launch, beating Bitcoin and S&P 500.
- STRK offers an 8.1% yield and low correlation with MSTR stock.
Strategy’s (MSTR) bitcoin-focused preferred stock, STRK, has outperformed both Bitcoin and the S&P 500 since its February debut, while raising a record $59.7 million in its latest weekly at-the-market (ATM) issuance.
Boosting Bitcoin holdings
The proceeds were used to boost the company’s Bitcoin holdings, which now total 576,230 BTC.
This latest purchase, disclosed in a Monday SEC filing, was made with funds raised from the sale of 621,555 STRK shares.
Strategy still has $20.79 billion available in its STRK ATM facility.
Continued Bitcoin acquisitions
Led by Executive Chairman Michael Saylor, the firm continues to ramp up Bitcoin acquisitions as the asset holds above $100,000.
The company reports a 16.3% BTC yield — a measure of Bitcoin exposure per share — since the start of the year.
STRK’s yield & market performance
STRK, which features an 8% fixed annual dividend based on a $100 per share liquidation preference, currently offers an 8.1% effective yield.
Since its launch on February 10, STRK has gained 16%, surpassing Bitcoin’s 10% increase and the S&P 500’s 2% decline during the same period.
STRK’s unique investment profile
Notably, STRK trades with a unique profile, maintaining just a 44% correlation with Strategy’s common stock (MSTR), while showing a 71% and 72% correlation with Bitcoin and SPY, respectively.
This makes STRK attractive to investors looking for differentiated Bitcoin exposure with income-generating features.
Contribution to Strategy’s ATM program
The STRK issuance has now contributed nearly 9% of the $705.7 million raised through Strategy’s broader ATM program.
