MicroStrategy added 467 BTC to balance sheet in July

As of June 28, MicroStrategy held 152,333 bitcoins

article-image

Vjom/Shutterstock modified by Blockworks

share

Michael Saylor’s MicroStrategy released earnings on Tuesday after the bell. 

The stock is up 200% year to date and is inching closer to its 52-week high of $478 with its Tuesday closing price of $434. Investors reacted somewhat negatively to the earnings, sending the stock down slightly after hours.

The company owns 152,800 bitcoins as of July 31, having added 467 BTC more than the 152,333 BTC it reported at the end of June. 

According to Andrew Kang, MicroStrategy’s chief financial officer: “The addition in the second quarter of 12,333 bitcoins being the largest increase in a single quarter since Q2 2021.”

Loading Tweet..

In total, the company spent $4.53 billion, marking a price of $29,672 per bitcoin. Bitcoin sits around $29,000 currently, up over 27% over the past year, according to data from CoinGecko. 

The company previously bought more than 13,000 bitcoins, according to a filing from late June. 

However, the company included an impairment charge, stating that “operating expenses include impairment losses on the Company’s digital assets, which were $24.1 million during the second quarter of 2023, compared to $917.8 million in the second quarter of 2022.”

Dan Weiskopf, co-portfolio manager of Amplify Investments Transformational Data Sharing ETF, previously told Blockworks that “few investors and companies are actually positioned to see revenue growth from AI” but MicroStrategy might be the exception, though clarity is needed.

Last week, TD Cowen released a note on MicroStrategy initiating coverage on the company and gave it a $520 price target. Analysts wrote that the company “represents a new kind of firm, which generates dollar-based cash flow from enterprise software and cloud services but then converts its excess cash flow – on an effectively-leveraged basis – into Bitcoin. “

“While investors may ultimately be able to buy bitcoin outright or through potential Bitcoin ETFs, network and management fees can erode returns. We view MSTR as superior with respect to simplified custody, liquidity, exposure to derivatives, downside protection, operating leverage, and financial leverage,” the analysts said.


Start your day with top crypto insights from David Canellis and Katherine Ross. Subscribe to the Empire newsletter.

Explore the growing intersection between crypto, macroeconomics, policy and finance with Ben Strack, Casey Wagner and Felix Jauvin. Subscribe to the On the Margin newsletter.

The Lightspeed newsletter is all things Solana, in your inbox, every day. Subscribe to daily Solana news from Jack Kubinec and Jeff Albus.

Tags

Upcoming Events

Salt Lake City, UT

MON - TUES, OCT. 7 - 8, 2024

Blockworks and Bankless in collaboration with buidlbox are excited to announce the second installment of the Permissionless Hackathon – taking place October 7-8 in Salt Lake City, Utah. We’ve partnered with buidlbox to bring together the brightest minds in crypto for […]

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

Unlocked by Template.png

Research

With the spot ETH ETF approval, the institutions are coming. stETH - given its dominance in marketshare, existing liquid market structures, and highly desirable properties - is poised for institutions.

article-image

Launching cryptocurrencies the old fashioned way may soon make a return

article-image

Kraken and CertiK brought their beef to social media after Kraken said researchers exploited $3 million through a bug

article-image

NVIDIA’s historic run is only deepening the divide between mega-cap tech stocks and the rest of the market.

article-image

EIP-7702 was quickly adopted for the next Ethereum upgrade, but developers haven’t quite locked it down