Mackenzie Tatananni
MicroStrategy stock jumped on Monday after the software company revealed it had purchased even more Bitcoin.
MicroStrategy filed a form 8-K with the U.S. Securities and Exchange Commission showing the company snapped up 6,556 digital tokens for $555.8 million in cash, or roughly $84,785 per Bitcoin from April 14 through April 20.
Shares of the world's largest corporate holder of Bitcoin, which does business as Strategy, gained 1% to $320.22 in early Monday trading after rising higher in premarket trading. The benchmark S&P 500 was off 1.3%.
The latest purchase brings the company's total holdings to 538,200 Bitcoins. Based on the current price of the digital currency, MicroStrategy's holdings are valued at around $47 billion.
Its Bitcoin yield, or the change in the ratio of its holdings to total assumed shares outstanding from period to period, was 12.1% for the period from Jan. 1 through April 20.
Also lifting shares higher on Monday was the rising price of Bitcoin, which was up 3.2% over the past 24 hours to $87,373, according to CoinDesk data.
Founded as an enterprise-software company in 1989, MicroStrategy has increasingly been viewed as a leveraged play on the cryptocurrency. The company uses proceeds from its at-the-market programs to fund Bitcoin purchases.
Write to Mackenzie Tatananni at mackenzie.tatananni@barrons.com
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(END) Dow Jones Newswires
April 21, 2025 10:01 ET (14:01 GMT)
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