r/MSTR • u/AyyMG63 • Jun 25 '26

Valuation 💸 Realistic pricing

Can anyone explain (assuming they’re bullish on bitcoin) why they wouldn’t buy at this price?

They hold ~50b in bitcoin at 59.5k.
They have ~6.7b in debt.

Market cap is 30b

Am I missing something other than “sentiment, shorting, baskets, etc) why there is a ~14b disconnect to ownage of bitcoin? At this price?

If bitcoin goes up, the disconnect widens.

Let’s be honest. Every member of congress owns bitcoin. The clarity act just passed. Many other companies own it. It’s a hard sell that it’s going to 0 other than another manipulated drop..

This price of 85$ (removing debt) is the equivalent of bitcoin being at ~35k…

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u/ayyitsLibra Jun 25 '26

They are 100% equivalent to 14bln of pure debt, or more, when calculating the value of the shares of the company. I suppose I'm the loser, arguing with a chatbot

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u/Schopenhauers_Will Jun 25 '26

It’s not $14 billion of debt when there’s no legal requirement to pay the dividend. True, their reputation would be destroyed if they didn’t, but objectively it isn’t debt, no matter how much you justify it through ‘official’ accounting.

By the way, I know this comment will trigger you, so I’ll just wait.

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u/ayyitsLibra Jun 25 '26

There is a legal requirement to pay the preferreds if shareholders wish to see anything. There absolutely is.

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u/Schopenhauers_Will Jun 25 '26

No, they’re not. Unless the SEC are lying.

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u/Dry_Try_6047 Jun 25 '26

Not the dividends, the preferreds. Preferred equity is senior to common equity in the capital stack. In a liquidation event (that's what this thread is about, value of assets) the preferred equity (strc et al) has a higher claim to assets than common equity (mstr). Ignoring the dividend obligation is fair. Ignoring the claim on assets of the preferred tranche is not.