Strategy (MSTR), recognized as the largest corporate holder of bitcoin, announced a net income of $2.8 billion, translating to an EPS of $8.42 for Q3 2025.
Under the leadership of Executive Chairman Michael Saylor, the firm has diligently pursued its aggressive bitcoin acquisition strategy. Thanks to proceeds from issuing common and preferred stock, Strategy boosted its holdings to 640,031 BTC by September’s end, up from 597,325 at the start of the quarter (subsequent purchases in October have increased the total to 640,808).
This quarterly profit was driven by an increase in bitcoin’s price, rising from about $107,000 at the beginning of July to roughly $114,000 by the end of September. Nevertheless, investors reacted unfavorably, resulting in a 14% drop in MSTR’s share price over the same period, as the market cap premium over its bitcoin holdings (the mNAV) significantly decreased.
The declines continued into October, with shares dropping another 20% this month, including a 7.5% fall today, coinciding with bitcoin’s drop below $107,000.
Read more: Michael Saylor’s Strategy Drops $18B in Value, but a Rebound May Be Near: 10X Research
The company’s year-to-date bitcoin yield stands at 26%, with guidance reaffirmed for a full-year bitcoin yield of 30% and projected net income of $24 billion, or $80 per share, based on a BTC price forecast of $150,000.
Strategy has also reinstated its common stock ATM guidance, promising not to issue additional common shares when the mNAV falls below 2.5x. This guidance was previously in place earlier this year but was retracted, creating some anxiety among shareholders.
Due to MSTR’s recent sharp decline in share price compared to bitcoin, its mNAV barely exceeds 1, suggesting that common stock issuance may be off the table for the foreseeable future.
Shares have risen 3.3% in after-hours trading, with the earnings call scheduled to begin at 5 pm ET.
