Strategy’s preferred stock STRC is supposed to trade at $100. It’s currently trading around $95. CEO Phong Le says the company has a plan for that, or at least, a couple of plans it’s considering.
Le indicated that Strategy may increase the STRC dividend rate or bolster its USD reserves to push the preferred stock back toward its par value.
What STRC is and why the discount matters
STRC, formally known as Variable Rate Series A Perpetual Stretch Preferred Stock, launched in July 2025 as one of several instruments Strategy uses to fund its Bitcoin acquisition strategy. It pays a variable dividend, currently set at 11.50% annualized, and the board can adjust that rate to keep the price anchored near $100.
Despite those hikes, STRC is still sitting about 5% below par. When a preferred stock trades below par, the effective yield for new buyers actually exceeds the stated rate. You’re paying $95 for a security that pays dividends based on a $100 face value. That math works in the buyer’s favor, but it works against Strategy’s ability to raise fresh capital at attractive terms.
