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Strategy Inc Class A

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MSTR I wonder how many people bought Puts today? I started to, but decided to buy calls when BTC hit $88k, and pray the bleeding would stop. I think that was the dip of the dip of the dip of the dip. If so, this is about to be my best trade since the AMC squeeze 🫣

MSTR Fact of the day: Each time Saylor hits the common share ATM he is issuing Class A shares, which all common shareholders hold, and thus diluting shareholders. Know what type of shares he holds? Class B shares, so his shares are not getting diluted like yours are. Think that's a coincidence? Of course not. He is ok with diluting you, but not himself. No wonder he lives in Washington DC, I'm sure he fits right in there.


MSTR FYI, BTC fully diluted fair value per share (pre-tax) is now around $181 share. That does not include any provision for preferred shares having 1st senior priority claim on $7.8 billion of the bitcoin holdings. That lowers fair value another $24 per share, making actual pre-tax value $157 bitcoin per share. Put another way, investors are still paying about a 20% premium over bitcoin-per-share value.

MSTR Next bottom if BTC goes down as expected we maybe could expect MSTR next between 147-155-165. No guarantees, just a personal opinion based on market structures visible / understood so far. Anything can change anytime. Upwards after market maybe around 189-194. Strong Resistance at 209 as of now.
ATB


MSTR With all the STRx products now trading below par, including STRD, STRK and STRC trading WAY below par, there is the real possibility that MSTR will not be able to buy ANY bitcoin this week. Nor for the foreseeable future unless both BTC and MSTR make a substantial recovery. The effective yield on STRD is now over 15%, which means the market has high confidence that MSTR will suspend STRD dividends soon. STRC is paying over 11% and Saylor will be forced to raise that another 1/2% this month per the prospectus. Plus each following month be forced to raise it again until STRC gets back to $100 par value. That is very expensive capital that could quickly snowball to being out of control.

That is one of the several flaws in MSTR's business model. When bitcoin market interest is low and the price is more attractive, MSTR is forced to pause or greatly slow down their purchases. So they end up buying when the price is higher and pause/slow down when the price is lower.

MSTR - I’ve always wondered on days like today when a stock is down 14% in a day, and 30% in a week…. Why would you sell now? I mean, I get capitulation. But wow. Late in the day on move way outside the ATR and people are like, “Okay, now I’m out!” Lol.


MSTR Awwwwfully quiet in here. :P