Michael Saylor Reiterates STRC $99-100 Target as Preferred Stock Rebounds from Record Low
Michael Saylor reiterated on X that Strategy's corporate objective for its preferred stock STRC remains trading between $99 and $100, as the security attempts to recover from its all-time low of $71.25 set on June 26. STRC rebounded to around $87.46 following a new capital framework announcement, but the gap to par value remains wide amid Bitcoin's price slump below $60,000. STRC is a Variable Rate Series A Perpetual Stretch Preferred Stock, designed to trade near its $100 face value, with monthly dividend adjustments to anchor the price. On June 29, Strategy raised the dividend rate by 50 basis points to 12%, effective for July record dates, as part of a capital management overhaul. Saylor's tweet repeats language from Monday's press release, aiming to signal validation of the recovery plan. The reiteration follows criticism from Ripple CEO Brad Garlinghouse, who called STRC's slide an indictment of Strategy's financing model, and a securities investigation by Rosen Law Firm. STRC's ability to return to par largely depends on Bitcoin's trajectory, which remains the primary driver of Strategy's capital structure and dividend coverage.
Key facts
- STRC preferred stock rebounded to ~$87.46 from record low of $71.25
- Saylor reiterated $99-100 target, dividend raised 50 bps to 12%
- Bitcoin dropped below $60,000, widening gap to par value
- Ripple CEO criticized STRC slide; Rosen Law Firm opened investigation
- Recovery depends on Bitcoin trajectory as key capital structure driver