MSTR's Capital Raising Strategy Aids Bitcoin Holding: What's Ahead?

Strategy MSTR is the world’s largest bitcoin treasury company, holding 640,808 bitcoins as of Oct. 27, 3.1% of all bitcoin in existence. The company’s disciplined approach to capital raising through preferred equity offerings — Strike (STRK), Strife (STRF), STRD (Stride) and STRC (Stretch) — has been a key catalyst. 

Year to date, Strategy has raised $19.8 billion, which is roughly 88% of 2024’s total of $22.6 billion. Through its capital raising program, in the third quarter of 2025, MSTR received net proceeds of approximately $5.1 billion and approximately $89.5 million between Oct. 1, 2025, and Oct. 26, 2025. The company, through its common stock ATM program, raised $2.2 billion, $152.8 million through the STRK ATM program, $217.3 million through the STRF ATM program, and $48.5 million through the STRD ATM program.

In July 2025, Strategy received net proceeds of roughly $2.5 billion through the issuance and sale of 28,011,111 shares of the Variable Rate Series A Perpetual Stretch Preferred Stock (STRC Stock) at a public offering price of $90.00 per share.

Strategy now expects to achieve a bitcoin yield of 30% and $20 billion in gains, assuming the bitcoin price hits $150,000 at the end of the year. Bitcoin yield has hit 26% year to date and was 25.9% at the end of the third quarter of 2025. In dollar terms, bitcoin gain was $12.8 billion at the end of the third quarter and $12.9 billion year to date.

MSTR Faces Tough Competition

Strategy is facing stiff competition from Riot Platforms’ RIOT and MARA Holdings’ MARA in the bitcoin space.

Riot Platforms is a vertically-integrated bitcoin mining company offering comprehensive and critical infrastructure to mine bitcoin. The company has been exploring the feasibility of developing a portion of RIOT’s power capacity for AI and High-Performance Computing uses. MARA Holdings has strategically expanded its mining capacity, acquiring facilities at remarkably low costs and reinforcing its vertical integration.

MSTR’s Share Price Performance, Valuation & Estimates

Strategy shares have dropped 12.1% year to date, underperforming the broader Zacks Finance sector’s return of 12.5%, Riot Platforms’ appreciation of 104.5% and MARA Holdings’ rise of 8.8%.

MSTR Stock’s Performance

The MSTR stock is trading at a premium, with a forward 12-month price/book of 1.52X compared with the MARA Holdings’ 1.37X. Strategy has a Value Score of F.

Valuation: MSTR vs. MARA

The Zacks Consensus Estimate for MSTR’s 2025 loss is pegged at $15.73 per share, unchanged over the past 30 days. The company reported a loss of $6.72 in 2024.
 

Strategy Inc Price and Consensus

Strategy Inc price-consensus-chart | Strategy Inc Quote

Strategy currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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