Bitcoin Giant Strategy Records $12.4 Billion Q4 Loss as MSTR Shares Hit 18-Month Low

Core Viewpoint - The company reported significant losses in its fourth-quarter earnings due to a decline in Bitcoin prices, leading to an unrealized loss of nearly $9 billion on its holdings [1][2]. Financial Performance - The company generated a fourth-quarter net loss of $12.4 billion, equating to $42.93 per share, as Bitcoin's price fell from an all-time high of over $126,000 [2]. - The company has spent $54.2 billion on Bitcoin since 2020, with current holdings valued at approximately $45.4 billion [1]. Stock Performance - The company's shares dropped more than 17% to $107, marking the lowest level in a year and a half, and have plummeted around 71% over the past six months [3]. - The stock has fallen 76% from a high of $457 last year, raising concerns among investors [5]. Bitcoin Holdings and Strategy - The company holds a total of 713,502 Bitcoin and has added around 35,000 Bitcoin to its reserves during the last quarter [2][3]. - The company has established cash reserves of $2.25 billion to ensure it can meet dividend payments on preferred stock for the next 30 months [6]. Management Perspective - The Chief Financial Officer emphasized the long-term strategy of the company, which is designed to withstand short-term price volatility [2]. - The co-founder and Executive Chairman expressed confidence in the company's digital asset strategy, referring to it as a "digital fortress" [3].