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Strategy shares jump as bitcoin gains lift the company toward profit

Strategy says its 840,447 BTC position is now worth about $1.4 billion more than its average purchase price of $75,385, and its U.S. dollar reserves have reached $4.8 billion for about 2.8 years of coverage.

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Strategy Inc. saw its common stock rise in Friday pre-market trading as bitcoin extended a winning streak and lifted the value of the company’s holdings, according to CoinDesk. Strategy’s unrealized bitcoin gain is now roughly $1.4 billion versus its average purchase price of $75,385, with Strategy still holding 840,447 BTC.

CoinDesk also reported that Strategy’s shares rose 10% to $120, its highest level in two months. The outlet said the largest cryptocurrency added almost 22% over five straight days, following a period when bitcoin had fallen about 54% from its October all-time high of $126,000.

As bitcoin traded mostly in the low to mid-$60,000s in recent months, Strategy sold about 6,916 BTC, the report said. It added that its unrealized loss had been about $13 billion, or 20.4% of its total bitcoin cost basis, when bitcoin traded as low as $58,000 in July.

Strategy has also been buying back its perpetual preferred stock, STRC, the report said. CoinDesk noted Strategy repurchased about $347 million of STRC in the past four weeks, accelerating purchases each week, while STRC was trading at $95.62, up about 35% from its June low of $71. Separately, the company increased its U.S. dollar reserve to $4.8 billion, which the outlet said provides 2.8 years of coverage for dividend payments and other obligations.

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