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Strategy's STRC falls to record low, drawing criticism over dividend funding and disclosures

first published 2026-06-18T05:49:21Z
Analysis Price Equity
Strategy's STRC preferred stock dropped to a record low of $89, below its $100 par value, prompting the company to pause new at-the-market share issuance used to buy bitcoin. The move follows Strategy's first bitcoin sale to help fund preferred dividends, even as it still holds about 846,842 bitcoin and maintains a $1.1 billion reserve for dividends and debt.
AI Analysis
STRC hitting a record low below par and the pause in share issuance are negative for Strategy's funding model. The article also says the company sold bitcoin for the first time to fund dividends, which adds short-term pressure, though its large bitcoin holdings and reserve buffer limit the severity.
Expected Investor Sentiment: Bearish
Potential Market Impact: High
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