2024-10-31
Here are the key highlights:
•
Stock Performance: MicroStrategy's stock reached a 25-year high of
$245 ahead of the earnings report. The stock has surged by 286% year-to-date.
•
Bitcoin Holdings: As of September 30, 2024, MicroStrategy holds
252,220 bitcoins, valued at approximately $16.007 billion.
•
BTC Yield: The company achieved a BTC Yield of 17.8% year-to-date.
They have revised their long-term BTC Yield target to 6% to 10% for 2025
through 2027.
•
Capital Plan: MicroStrategy announced a $42 billion capital plan,
aiming to raise $21 billion through equity offerings and $21 billion through
fixed-income securities.
Furthermore, MicroStrategy has
announced “21/21 Plan”, a $42 billion capital plan to purchase Bitcoin
and further increase its Bitcoin holdings. The plan includes $21 billion
through equity offerings and $21 billion through fixed-income securities over
the next three years. This ambitious strategy aims to leverage Bitcoin as a
treasury reserve asset and achieve higher BTC Yield.
“Today, we are announcing a strategic goal of
raising $42 billion of capital over the next 3 years, comprised of $21 billion
of equity and $21 billion of fixed income securities, which we refer to as our “21/21
Plan.” As a Bitcoin Treasury Company, we plan to use the additional capital to
buy more bitcoin as a treasury reserve asset in a manner that will allow us to
achieve higher BTC Yield,” said Phong Le, President and
Chief Executive Officer, MicroStrategy.
It's clear that MicroStrategy's
strategy of leveraging Bitcoin as a treasury reserve asset is paying off.
MicroStrategy becomes tenbagger stock
in just a period of 4 years after the company began purchasing and holding
bitcoins.
