STRC Preferred Shares Hold Below Par Value Despite 5.42% Price Increase

Strategy's preferred STRC shares remain below their $100 par value, but investors will still receive a 12% dividend for August. This marks the second month that the dividend will be paid semi-monthly after shareholders approved the change in June.

The STRC shares closed at $89.46 on Friday, which is a 5.42% price increase from the beginning of July. The company's CEO Phong Le reiterated that management's corporate objective is for STRC to trade at $99-$100 over time, but did not provide any further information on when this might happen.

Strategy has built a $3.75 billion cash reserve to support preferred stock payouts following the launch of its BTC monetization program. This reserve is enough to cover more than two years of preferred dividend payments and interest obligations.