Strategy Q4 revenue beats estimates, net loss widens

Overview

• Bitcoin Treasury Company reported Q4 revenue growth, beating analyst expectations

• Q4 net loss widened due to unrealized losses on digital assets

• Company raised $25.3 bln in FY2025, largest US equity issuer

Outlook

• Strategy expects ROC distributions to continue for ten years or more

• Company plans to maintain USD Reserve for 2.5 years of dividend coverage

• Strategy updates STRC dividend rate framework based on stock price

Result Drivers

• BITCOIN HOLDINGS - Strategy increased its bitcoin holdings to 713,502, acquiring 41,002 bitcoins in January 2026 alone

• STRC STABILITY - Variable dividend rate mechanism helped maintain STRC price stability despite weaker bitcoin prices

• CAPITAL MARKETS ACTIVITY - Raised $25.3 bln in FY2025, largest US equity issuer, with focus on expanding STRC

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 14 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the software peer group is "buy"

• Wall Street's median 12-month price target for Strategy Inc is $432.50, about 235% above its February 4 closing price of $129.09

• The stock recently traded at 3 times the next 12-month earnings vs. a P/E of 8 three months ago

Press Release: ID:nBwch9c2Ta

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