Strategy Inc. Variable Rate Series A Perpetual Stretch Preferred Stock research snapshot
STRC AI stock analysis treats STRC as Strategy preferred equity, not Strategy common stock. At the August 2, 2026 data cutoff, STRC closed at $89.46 on July 31, 2026, with a company-stated market cap of about $9.2 billion and STRC notional value of about $10.5 billion. Strategy maintained a 12.00% annualized STRC dividend rate, which equals a 13.41% simple cash yield at that reference price if the rate is sustained. This is not a promised return: STRC is perpetual, its rate is declared at the board discretion, and the issuer is actively managing the security through a $3.75 billion USD reserve, a $975 million remaining buyback program, and bitcoin monetization after reporting a Q2 2026 net loss driven by an unrealized bitcoin mark. The company stated its objective is to return STRC to $99 to $100, and its July buyback averaged $86.53 per share. This page is informational research, not investment advice.
Current price
$89.46 at the July 31, 2026 close, with ChartExchange near $89.40
Market cap
About $9.2 billion to $9.4 billion, based on the company-stated market cap of $9.2 billion on the July 30, 2026 Q2 call and about $10.5 billion of STRC notional value outstanding
AI score
55 / 100
Rating
High-income perpetual preferred with active issuer support, a 12% dividend rate, and bitcoin credit exposure
Trend status
Recovering above the 20-day average near $87 but below the 50-day average near $90 and the 200-day average near $97, after a June 26 low of $71.25
Data cutoff (updated monthly)
August 4, 2026
Informational use only. This page is not investment advice.
| Dimension | Conclusion | Confidence |
|---|---|---|
| Business quality | STRC holders own a preferred claim on Strategy, whose operating software business is small relative to its bitcoin treasury and digital-credit platform. They do not own common-stock upside or a direct claim on bitcoin. | High |
| Moat | Strategy has scale and brand as the largest institutional bitcoin holder and a growing digital-credit franchise, but STRC protection is issuer credit and contractual preference plus the USD reserve and buyback program, not a traditional operating moat. | Medium |
| Management | Management acted actively in Q2: it maintained a 12% STRC rate, grew the USD reserve to $3.75 billion, cut convertible debt from $8.2 billion to $6.7 billion, repurchased STRC at an average of $86.53 per share, and laid out a $99 to $100 par objective. Future rate, reserve, issuance, and buyback discipline remain decisive. | Medium-high |
| Financial trend | Q2 2026 revenue was $122.4 million, up 6.9% year over year, while a net loss of $8.22 billion, or $24.45 per share, was driven by an $8.32 billion unrealized loss on digital assets. Operating results alone do not capture the credit picture. | High |
| Valuation | Yield, dividend policy, credit risk, liquidity, the USD reserve, and redemption terms matter more than PE. A 12.00% annualized rate divided by the $89.46 reference price equals a 13.41% simple yield, but the rate is variable and was 11.50% in June 2026. | High |
| Technical trend | The July 31 close of $89.46 was above the reported 20-day average near $87.29 but below the 50-day average near $90.28 and the 200-day average near $96.89, recovering from a June 26 low of $71.25. Technicals are secondary to rate, reserve, buyback, and bitcoin news. | Medium |
| Risk level | High. Risks include a future rate cut, no maturity date, issuer redemption at $101 plus unpaid dividends, bitcoin drawdowns, additional preferred issuance, a $5 billion bitcoin sale plan discussed on the Q2 call, and price gaps around distributions. | High |
| AI confidence | Security terms and issuer disclosures are well documented and were re-verified across the Q2 2026 earnings release, the earnings call, StockAnalysis.com, ChartExchange, and Barchart. Live share count, current price, and forward rate policy still require a fresh check. | Medium |
| Investment certainty | Low. A variable-rate perpetual preferred cannot be assessed as a conventional stock or fixed-rate bond, and the current 13.41% yield is conditional rather than contractual for all future periods. | Low |
STRC AI stock forecast
The STRC AI stock forecast uses conditional price ranges, not a guaranteed target. The reference price can react to the next declared rate, the pace of the $975 million buyback, Strategy USD reserve policy, bitcoin price, the $5 billion bitcoin sale plan, and the prospect of redemption near $101.
$95 to $101 plus declared distributions
More likely if Strategy sustains the 12.00% rate, keeps buying STRC below par, maintains a $3.75 billion or larger USD reserve, bitcoin and financing conditions improve, and the market gains confidence in the $99 to $100 par objective. The issuer redemption right can limit upside above $101 plus unpaid dividends.
$86 to $95 plus declared distributions
More likely if Strategy continues regular buybacks below $100, holds the rate near 12.00%, and bitcoin stays volatile but orderly, leaving STRC trading between the 50-day average near $90 and the reported 20-day average near $87.
$75 to $86 with distributions uncertain
More likely if bitcoin falls sharply, a large bitcoin sale weakens sentiment, the dividend rate is reduced, preferred obligations grow faster than reserves, or broker-dealer credit lines tighten again as they did in June when STRC fell to $71.25.
STRC AI technical analysis
STRC AI technical analysis uses the July 31, 2026 close of $89.46 and third-party chart statistics. The data cutoff matters because STRC can move quickly after dividend declarations, buyback activity, issuance, or shifts in bitcoin and credit markets. Barchart reported a 50-day moving average near $90.28, a 200-day moving average near $96.89, a 14-day RSI near 54, and a 14-day ADX near 22 as of July 31, 2026.
| Level | Value | Why it matters |
|---|---|---|
| Reference close | $89.46 on July 31, 2026 | StockAnalysis.com listed $89.46 and ChartExchange listed near $89.40 at the close. Recheck a live quote before using it as an entry or exit reference. |
| Support zone | $86.53 to $87.29 | The company bought STRC at an average of $86.53 in July, and Barchart reported the 20-day moving average near $87.29. This zone blends issuer support with the short-term trend line. |
| Resistance zone | $90.28 to $96.89 | Barchart and ChartExchange reported the 50-day moving average near $90.28 and the 200-day average near $96.89, with a 100-day average near $95.01, forming the overhead band toward the $99 to $100 par objective. |
| Long moving average | $96.89 reported 200-day SMA | Trading below this average indicates a weak long-term trend in the cited series, though preferred-stock fundamentals can override chart signals. |
| Momentum and volume | 14-day RSI near 54 and 20-day average volume near 1.23 million shares | Barchart reported RSI near 54, roughly neutral, and a 20-day average volume near 1.23 million shares, below the elevated June volume that accompanied the fall to $71.25. |
| Volatility | 14-day historical volatility near 26% | Barchart reported 14-day historical volatility near 26% and a 50-day figure near 42%, so position sizing should account for sharp moves around bitcoin and dividend news. |
| Invalidation level | A declared rate cut, a slower buyback, a reduced USD reserve, or worsening issuer liquidity | These fundamental events matter more than a single price level for a variable-rate perpetual preferred security. |
STRC AI trading strategy
This STRC AI trading strategy is a general risk framework, not a personalized recommendation. Use live quotes, the next dividend declaration, buyback and reserve updates, issuer filings, and bitcoin-market conditions before acting.
Watch whether STRC holds above the reported 20-day average near $87 and reclaims the 50-day average near $90 on stable dividend policy and continued buybacks. Treat the $99 to $100 par area and the $101 redemption economics as the natural ceiling zone.
Invalidate the thesis if a dividend declaration weakens, buybacks slow, the USD reserve falls, preferred obligations grow, or the recovery reverses on elevated volume.
A range trader could study moves toward the reported $86.53 to $87.29 support zone after checking live liquidity, the record date, the declared rate, the remaining buyback capacity, and whether the discount reflects new issuer information.
Use limited position sizing and a predefined loss limit. Do not average down automatically into a credit, rate-policy, or bitcoin deterioration.
Evaluate the declared rate against the purchase price, then monitor each dividend declaration, the USD reserve, buyback pace, preferred issuance, debt changes, bitcoin holdings, the $5 billion bitcoin sale plan, and tax treatment as return of capital.
Do not treat the 12.00% annualized rate as permanent. A rate cut, changed return-of-capital treatment, a slower buyback, or a loss of liquidity can change total-return expectations quickly.
Investment research summary
STRC is a funding instrument for Strategy. Investors provide perpetual preferred capital in exchange for discretionary, cumulative cash dividends while Strategy runs a bitcoin treasury and a digital-credit platform alongside enterprise analytics software.
Strategy is the largest institutional bitcoin holder and the biggest issuer of digital credit, but STRC is not collateralized by bitcoin. Its protection is a preferred claim on residual assets plus the USD reserve and the buyback program, not ownership of a moat.
The thesis can fail if bitcoin falls, financing becomes scarce, the preferred stack grows faster than reserves, the dividend rate is cut, the buyback program is not sustained, or a large bitcoin sale damages confidence. A high current yield may be a risk signal rather than a bargain.
Management showed active capital management in Q2: a 12.00% rate, a $3.75 billion USD reserve, a $1.5 billion convertible repurchase at an 8% discount, and an STRC buyback at an average of $86.53 per share. The open question is whether future issuance, reserves, bitcoin sales, and volatility preserve preferred-holder confidence.
Digital-credit securities remain a developing structure tied to institutional bitcoin adoption. STRC has become the top holding across the three largest preferred indexes, and institutional ownership tripled to about $3.1 billion, but the structure still has a short public history and is exposed to digital-asset, rate, tax, and regulatory cycles.
At $89.46, the 12.00% annualized rate equates to a 13.41% simple yield if maintained. This is not a conventional margin of safety because the dividend is variable, the security is perpetual, and principal recovery depends on market price, issuer credit, buyback execution, or redemption near $101.
Strategy reported $122.4 million of Q2 2026 revenue, $2.4 billion of cash and short-term investments at June 30, 843,775 bitcoin as of July 26, a $3.75 billion USD reserve, $6.7 billion of long-term debt, and $14.4 billion of preferred equity, with a net loss of $8.22 billion driven mainly by an unrealized bitcoin loss.
For a new investor, this remains a research-and-monitor security rather than a simple buy signal. A holder should monitor every rate declaration, buyback update, USD reserve level, and capital-structure change. A missed declaration, slower buybacks, weaker liquidity, or a material credit deterioration would require a thesis review.
Source-backed data
Every metric below includes a source and last verification date.
| Metric | Value | Source | Last verified |
|---|---|---|---|
| Reference close and chart statistics | $89.46 close on July 31, 2026; reported 52-week range $71.25 to $100.42; 20-day SMA $87.29; 50-day SMA $90.28; 100-day SMA $95.01; 200-day SMA $96.89; 14-day RSI near 54 | StockAnalysis.com and Barchart STRC market data | August 2, 2026 |
| STRC price cross-check | StockAnalysis.com listed $89.46 and ChartExchange listed near $89.40 at the July 31, 2026 close | StockAnalysis.com and ChartExchange real-time quotes | August 2, 2026 |
| Current declared dividend policy | 12.00% annualized rate maintained for July 2026 semi-monthly periods at $0.50 per share; the June 30 period was 11.50% at $0.48, showing the rate is variable and board-discretionary | Strategy Q2 2026 earnings release and StockAnalysis.com dividend page | July 30, 2026 |
| STRC terms and stated amount | Variable-rate perpetual preferred with a $100 stated amount, cumulative dividends, semi-monthly payments, and a $101 issuer redemption right plus accumulated and unpaid regular dividends | Strategy Q2 2026 earnings release and Q1 2026 Form 10-Q preferred-stock disclosure | July 30, 2026 |
| STRC buyback program | $1.0 billion authorized; 288,930 shares repurchased July 20 to July 26 for about $25.0 million at an average of $86.53 per share, a 13.47% discount to $100; about $975 million remains available | Strategy Q2 2026 earnings release | July 30, 2026 |
| STRC notional and market cap | STRC notional grew from $2.8 billion to $5.3 billion to $10.5 billion across the last three reported quarters; management stated a market cap of about $9.2 billion and a notional of $10.5 billion on the Q2 call | Strategy Q2 2026 earnings call | July 30, 2026 |
| Q2 2026 revenue and margins | $122.4 million revenue, up 6.9% year over year; gross profit of $81.6 million at a 66.6% gross margin, down from 68.8% a year earlier | Strategy Q2 2026 earnings release | July 30, 2026 |
| Q2 2026 net loss | Operating loss of $8.33 billion, net loss of $8.22 billion, or $24.45 per diluted share, driven by an $8.32 billion unrealized loss on digital assets; net loss attributable to common stockholders was $8.62 billion after $400.7 million of preferred dividends | Strategy Q2 2026 earnings release | July 30, 2026 |
| USD reserve | $3.75 billion as of July 26, 2026, covering about 2.1 years of preferred dividends and interest; management targets two to three years of coverage with a one-year minimum | Strategy Q2 2026 earnings release and earnings call | July 30, 2026 |
| Bitcoin holdings | 843,775 bitcoin as of July 26, 2026, a 25% increase year to date, with a cost basis of $63.69 billion and market value of $54.77 billion, or about $75,476 average cost and $64,915 market price | Strategy Q2 2026 earnings release | July 30, 2026 |
| Capital structure | $6.7 billion of long-term convertible debt, down from $8.2 billion after a $1.5 billion repurchase at an 8% discount; preferred equity rose from $9 billion to $14.4 billion in Q2 on STRC issuance; cash and short-term investments were $2.4 billion at June 30 | Strategy Q2 2026 earnings release and earnings call | July 30, 2026 |
| STRC issuance and ATM activity | STRC issuances raised $7.53 billion year to date, about 254% growth; Q2 ATM gross proceeds were $8.41 billion including $5.47 billion of STRC; $17.06 billion raised year to date through ATM programs | Strategy Q2 2026 earnings release | July 30, 2026 |
| Bitcoin sale plan | Management discussed plans to sell up to $5 billion of bitcoin to build cash reserves and fund repurchases; CEO Phong Le said the figure could be much smaller and Saylor cautioned it could be larger | Forbes reporting on the July 30, 2026 Q2 earnings call | July 31, 2026 |
| MSTR price context | MSTR closed at $93.28 on July 31, 2026, down 4.56% on the day and about 42% lower year to date; analysts on the Q2 call cited an average MSTR target near $296 | StockAnalysis.com and Strategy Q2 2026 earnings call | August 2, 2026 |
| STRC share-count limitation | Third-party providers disagree on STRC shares outstanding: StockAnalysis.com reported 371.60 million and ChartExchange reported about 28 million. Strategy did not disclose a single STRC share count in the Q2 release; this page therefore uses the company-stated $9.2 billion market cap and $10.5 billion notional as primary | StockAnalysis.com, ChartExchange, and Strategy Q2 2026 earnings call | August 2, 2026 |
| 2026 STRC dividend history | 11.00% in January, 11.25% in February, 11.50% from March through the June 30 semi-monthly period, then 12.00% for the July 15, July 31, and August 15 periods | Strategy Q2 2026 earnings release dividend schedule | July 30, 2026 |
| Institutional adoption | STRC became the number one holding in the BlackRock PFF, Virtus InfraCap PFFA, and VanEck PFXF preferred indexes within the past 12 weeks; institutional holdings grew from about $1.1 billion to $3.1 billion, reaching about 29% of STRC outstanding by July 1, 2026 | Strategy Q2 2026 earnings call | July 30, 2026 |
| Dividend track record | About $1.06 billion in cumulative dividends paid on all preferred stock to date, with 18 months of consecutive dividend payments and no missed dividend despite the recent bitcoin drawdown | Strategy Q2 2026 earnings release | July 30, 2026 |
| Yield calculation | 12.00% annualized dividend divided by the $89.46 reference price equals a 13.41% simple current yield if the rate is maintained; management cited a 13.6% effective yield and 21.6% tax-equivalent yield on the Q2 call | StockAnalysis.com and Strategy Q2 2026 earnings call | August 2, 2026 |
This page is an informational tool, not investment, tax, or legal advice. STRC scenarios use available information and may be wrong. STRC is a variable-rate perpetual preferred security; its distributions are declared at the board discretion, its rate can change, its price can fall, and investors can lose principal. Management discussed a potential bitcoin sale of up to $5 billion on the Q2 2026 call, which adds uncertainty to future STRC outcomes.
Design trading strategies visually with 10+ indicators. Set entry/exit conditions and risk management, then generate Pine Script code with no coding required.
Filter and discover stocks based on market cap, dividend yield, P/E ratio, sector, and more. Screen thousands of stocks with real-time data.
Smart AI-driven stock selection with fundamental screening, analyst estimates, and key metrics. Filter by P/E, market cap, dividends, and more.
