Strategy Keeps STRC Dividend Unchanged at 12% Despite Below-Par Trading

Strategy, led by Executive Chairman Michael Saylor, is holding the dividend on its high-yielding preferred stock STRC steady at 12% for August, breaking from its usual approach of raising payouts when the stock trades well below its $100 par value. Many STRC investors had anticipated a possible 50-basis-point increase, given the company’s pattern of lifting dividends during periods of sustained weakness.

Previous Hike Helped Stock Recover Somewhat

Just last month, Strategy raised the dividend by 50 basis points after STRC fell as low as $71 in June. That increase, combined with the company selling some bitcoin to fund dividend payments and a modest stabilization in bitcoin’s price, helped STRC recover to around $89.46. Even with that rebound, the stock remains notably below its par value.

Company Reaffirms Long-Term Target

CEO Phong Le reiterated that Strategy’s corporate objective remains getting STRC back to the $99-$100 range over time. However, the company is not obligated to raise the dividend on any set schedule, and this month it chose to leave the rate unchanged.