Despite billions of dollars in bitcoin (BTC) purchases, a televised investor gala, a First Family meet-and-greet, a corporate name change, and a new Nasdaq stock listing, the simple multiple that investors are willing to pay for Michael Saylor’s Strategy (MSTR) BTC has been declining for months.
Soaring above 3.4X as recently as November 2024 with calls for it to somehow reach 10X, today’s figure has instead declined below 1.7X.
This premium, colloquially known as Strategy’s Multiple-to-Net Asset Value or “mNAV,” is the market capitalization of MSTR relative to its BTC holdings. This simple integer encapsulates investors’ overall faith in the company’s ability to positively accrete BTC per share on a dilution-adjusted basis.
Although Strategy’s $76.5 billion market cap is still a generous premium to its $45.2 billion worth of BTC, today’s 68% premium is a far cry from its 240% premium on November 20.
Saylor has been trying to pump it back up, of course, announcing approximately $2 billion worth of additional BTC purchases just this morning. Year-to-date, Strategy has accreted 6.9% additional BTC per assumed diluted MSTR share — an annualized yield of over 56%.
Read more: Michael Saylor’s Strategy makes up metrics to explain MSTR dilution
Still, the seemingly positive news failed to bid up the price of his stock. At publication time, MSTR is trading 1% lower than yesterday.
According to a Strategy fan-created tracking website, the company’s mNAV is at its lowest level since May 13, 2024. In simple dollar terms, shares of MSTR are trading at their lowest level since November 11.
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