Strategy Increases STRC Dividend to 10% and Buys Additional 4,048 BTC
Strategy (MSTR) has increased the dividend on its STRC preferred stock to attract more investors and support a price target of $100. The annualized payout is now 10%, with a monthly dividend of $0.8333 per share for September, as stated by Executive Chairman Michael Saylor.
Key points include:
- The company purchased an additional 4,048 BTC, raising total holdings to 636,505 BTC.
- STRC has risen approximately 8% since its July 30 debut, currently trading near $97.
- The effective yield is 10.3%, calculated from the dividend relative to the market price.
- A 5-to-1 bitcoin overcollateralization backs the dividend promises.
- The $100 price target is essential for the company's issuance program; trading below this level limits their ability to issue more shares.
- Quarterly cash dividends declared for STRD ($3.0556), STRF ($2.50), and STRK ($2.00) will be payable on September 30.