Strategy (MSTR), the largest Bitcoin holding company, reported net income of $2.8 billion, or EPS of $8.42, for the third quarter of 2025.
Led by Executive Chairman Michael Saylor, the company continued to implement its aggressive bitcoin accumulation strategy. Fueled by proceeds from common and preferred stock issuances, Strategy increased its holdings to 640,031 BTC at the end of September, up from 597,325 at the start of the quarter (October purchases have since increased the company’s stack to 640,808).
The third-quarter profit was driven by the rise in the price of Bitcoin, which rose from around $107,000 in early July to around $114,000 at the end of September. Investors, however, haven’t been as kind to MSTR, which saw its stock price drop about 14% over those three months as the market cap premium over the value of its bitcoin holdings fell sharply (the mNAV).
It’s a fall that accelerated in October, with stocks plunging another 20% this month, including a 7.5% decline today alongside Bitcoin’s return below $107,000.
Read more: Michael Saylor’s strategy loses $18 billion in value, but a rebound could be near: 10X research
The company’s year-to-date bitcoin return is 26%, and the company reiterated its forecast for a full-year bitcoin return of 30% and net profit of $24 billion, or $80 per share, based on its BTC price outlook of $150,000.
The strategy also reinstated the ATM guidelines for common stock whereby it committed not to sell common stock when mNAV falls below 2.5x. The company had this forecast earlier this year, but then withdrew it, causing some consternation among shareholders.
The recent sharp decline in MSTR’s stock price relative to bitcoin has left its mNAV barely above 1, meaning that issuing common stock is likely out of the question for the foreseeable future.
Shares are up 3.3% after hours, with the earnings call starting at 5 p.m. ET.
