Core Viewpoint - MicroStrategy Incorporated, referred to as Strategy, is facing a class action lawsuit due to significant unrealized losses on its digital assets, which were disclosed following the adoption of new accounting standards [1][2]. Financial Impact - On April 7, 2025, Strategy reported a $5.91 billion unrealized loss on its digital assets for Q1 2025, leading to an 8.7% drop in its stock price, closing at $268.14 per share [2][3]. - The company confirmed this loss in its Q1 2025 financial results, attributing it to the depreciation of bitcoin's value [3]. Lawsuit Details - The class action lawsuit alleges that during the class period, the company made materially false and misleading statements regarding its business and operations, particularly concerning its bitcoin investment strategy [4]. - Specific allegations include overstating the anticipated profitability of its bitcoin-focused strategy and understating the risks associated with bitcoin's volatility [4]. Legal Proceedings - Investors who purchased Strategy securities between April 30, 2024, and April 4, 2025, have until July 15, 2025, to file a lead plaintiff motion in the class action [1][5].
Deadline Alert: MicroStrategy Incorporated (MSTR) Investors Who Lost Money Urged To Contact Glancy Prongay & Murray LLP About Securities Fraud Lawsuit