Strategy Rallies After $2.1B Preferred Stock Sale Plan: Retail Turns Buoyant

Shares of Strategy Inc. (MSTR) traded 2% higher on Thursday after launching a new offering to sell up to $2.1 billion worth of its 10.00% Series A Perpetual Strife Preferred Stock. 

The shares, carrying a $0.001 par value, will be made available through a flexible at-the-market (ATM) equity offering strategy.

The company said it may offer and sell shares from time to time, depending on prevailing market factors such as price levels and trading activity. 

The software services provider stated that proceeds from the offering will be directed toward a range of corporate needs. This includes covering day-to-day expenses, maintaining cash reserves, and possibly purchasing more Bitcoin (BTC) as part of its ongoing commitment to digital asset investments.

These methods might involve direct ATM transactions under SEC Rule 415(a)(4), privately negotiated deals, or large block trades.

Strategy’s move aligns with its broader capital management framework and ongoing focus on digital asset accumulation, adding another layer to its multi-pronged investment playbook.

On Monday, the Michael Saylor-backed enterprise announced it had upped its total Bitcoin holdings to 576,230 after buying an additional 7,390 BTC between May 12 and May 18 for $764.9 million.

The announcement follows Bitcoin’s surge, reaching a record high of $111,544 on Wednesday. After reaching an intraday high of $109,114.88 in January, fueled by optimism over potential pro-crypto policies, Bitcoin fell below $80,000 in early March as broader market weakness took hold.

On Stocktwits, retail sentiment around Strategy changed to ‘extremely bullish’ from ‘bullish’ the previous day.

A user predicted Strategy’s shares could hit $350 before the end of June.

Strategy stock has gained over 40% in 2025 and has more than doubled in the last 12 months. 

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