Strategy’s STRC perpetual preferred stock returns to $100, may trigger more bitcoin buying

Core Insights - Strategy (MSTR) has seen its perpetual preferred equity, Stretch (STRC), reclaim a price of $100 in pre-market trading for the first time since early November, enabling potential sales to fund further Bitcoin (BTC) purchases [1] - STRC has experienced a price increase of 16% since its inception and currently offers an effective yield of approximately 11% [2] Group 1: Equity Performance - STRC last traded at the $100 level between November 4 and November 13 before dropping to a low near $90 [1] - The return to par value allows Strategy to issue shares through at-the-market (ATM) offerings related to STRC [1] Group 2: Dividend Information - STRC is branded as short-duration, high-yield credit, paying an 11% annual dividend distributed monthly in cash [2] - The dividend rate is reset monthly to promote trading around the $100 par value and mitigate price volatility [2] - MSTR has increased the dividend rate on STRC to 11% at the beginning of the year, marking the fifth increase since its introduction in July [3] Group 3: Stock Performance - MSTR's common stock has risen by 4% in pre-market trading, reaching $165, while STRC has increased by 0.03% to $100 [3]