Why Is MSTR Stock Down 58% YoY Despite Strategy’s Relentless Bitcoin Buying?

Quick Read

• Strategy holds 843,738 Bitcoin worth $64.83 billion but has a market cap of only $58.6 billion, meaning the stock market values the entire company at $6 billion less than the Bitcoin on its balance sheet—even as MSTR has fallen 58% over the past year.

• MSTR’s mNAV has compressed from a 3.89x peak in November 2024 to 1.24x today. At peak, every share Saylor issued was priced at nearly 4x the underlying Bitcoin’s value, adding more Bitcoin per share for existing holders, but at 1.24x that benefit has nearly vanished.

• Strategy funded its $2.01 billion Bitcoin buy (May 11-17) 95.9% with STRC preferred shares paying 11.50% annual dividends—not common stock—because mNAV is now too low for common-stock issuance to add meaningful Bitcoin per share, and STRC has raised $5.58 billion in 2026 alone to make it the world’s largest preferred stock by market cap.

• The analyst who called NVIDIA in 2010 just named his top 10 stocks and MicroStrategy wasn't one of them. Get them here FREE.

Michael Saylor isn’t slowing down his Bitcoin (CRYPTO: BTC) buying. Strategy (NASDAQ:MSTR | MSTR Price Prediction) now owns 843,738 Bitcoin, which is worth $64.83 billion at today's prices. However, the whole company is worth just $58.6 billion. The Bitcoin holding alone is worth more than the company that holds it.

Meanwhile, Strategy’s MSTR stock is down 58% over the past year, even as Saylor keeps adding to the BTC position—including the $2 billion haul just last week. Here's our review of why MSTR is down and why Saylor keeps buying Bitcoin anyway.

The analyst who called NVIDIA in 2010 just named his top 10 stocks and MicroStrategy wasn't one of them. Get them here FREE.

The MSTR Stock Is Broken, but Strategy's Bitcoin Bet Isn't

On the Bitcoin side, Saylor has been winning. Strategy's holdings have nearly doubled over the past year, climbing from around 444,262 BTC to 843,738 BTC today. The blended cost basis—the average price paid across all those coins—comes to $75,700 per coin.

The company also reports a BTC Yield of 12.6% year-to-date, meaning every existing shareholder owns 12.6% more Bitcoin per share today than they did on January 1. That's the whole point of the strategy: accumulate Bitcoin faster than the share count grows, and existing holders benefit. On that score, Saylor's strategy is doing exactly what he said it would.

However, the stock market has been a different ball game. MSTR peaked near $540 in November 2024 and now trades near $166, which is a 70% drop. Saylor's personal net worth has fallen $2.6 billion over the same period, per Bloomberg.