Strategy Stock Sinks to New Year Low as Bitcoin Rout Strains Dividend Coverage
25.06.2026 - 17:24:13 | boerse-global.de
Strategy Inc. shares hit a fresh 52-week low of 77.02 euros on Wednesday, extending a brutal sell-off that has wiped out nearly 79% of the stock’s value since July 2025. The software company, which holds the largest corporate Bitcoin treasury, remains firmly in the crosshairs of the cryptocurrency’s slide below $60,000.
The latest leg lower came despite a positive business development. TEOCO Corporation, a communications analytics specialist, has adopted Strategy’s One cloud platform to power its cost-analysis module. The deal promises to accelerate decision-making for TEOCO’s clients using artificial intelligence-driven reports from Strategy. Yet the news barely registered with investors, as existential concerns around Strategy’s Bitcoin-heavy balance sheet continued to dominate trading.
Holdings now stand at 847,363 Bitcoin, acquired at an average price of $75,651 per coin. With Bitcoin fetching just $60,000, that translates into an unrealized paper loss of more than $11 billion. The company’s cash reserves of $1.4 billion are already earmarked for interest payments and preferred-stock dividends, placing severe limits on its liquidity buffer.
The dividend burden is growing acute. Annual payouts on the Series A preferred stock (STRC) run to approximately $1.2 billion. Analysts at CryptoQuant calculate that, at the current burn rate, the cash pile can cover those obligations for only another 14 months — a dramatic collapse from the seven-year cushion available at the start of 2026. Cash reserves have already shrunk by 38% since the beginning of the year.
Should investors sell immediately? Or is it worth buying Strategy?
To replenish capital, Strategy has been tapping equity markets aggressively. A mid-June share sale of more than 2.7 million shares generated net proceeds of around $335 million. More recently, the company placed a $300 million equity offering. Director Jarrod Patten also sold 1,500 of his own shares, adding to the downward pressure. The existing at-the-market program retains capacity for further raises, with a total volume exceeding $25 billion.
Technical signals reinforce the bearish case. The stock’s relative strength index sits at 27.9, deep in oversold territory. Shares are trading 46.6% below their 200-day moving average of 155.66 euros. The premium to net asset value — once as high as three to four times — has collapsed to just 1.16 times, indicating that investors are no longer willing to pay a significant markup for the Bitcoin exposure.
Despite the distress, Strategy continues to add to its Bitcoin stash. Just this week, it purchased 520 coins for roughly $35 million. That steadfast buying contrasts starkly with the market’s growing skepticism. Benchmark, for one, still maintains a “Buy” rating, but broader sentiment remains cautious.
Strategy at a turning point? This analysis reveals what investors need to know now.
The next major test lies with Bitcoin’s ability to hold $60,000. If that level breaks decisively, the stock is likely to come under even more pressure. For now, the 52-week low of 77.02 euros, already below the previous low of 81.40 euros hit just days earlier, shows that the path of least resistance remains lower.
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