STRC Surges 30% as Strategy Targets Par Value Return by September

Woofun AI reports that Strategy’s perpetual preferred stock, Stretch (STRC), has climbed more than 30% from its June low, currently trading near $94 after a 1% gain on Wednesday. This recovery follows a period of volatility where the security bottomed around $71 in late June, coinciding with bitcoin dipping below $60,000.

The price stabilization of bitcoin has allowed Strategy to adjust its holdings without distress. During the downturn, the company executed three separate transactions to sell 5,226 BTC for a total of $321 million. These sales reduced its total bitcoin holdings from 847,363 BTC to approximately 842,137 BTC.

Structurally, these moves were designed to demonstrate that bitcoin can be utilized to meet dividend obligations rather than remaining an idle asset.

Per Woofun AI, the company also increased its U.S. dollar reserve by $250 million on Monday, bringing total cash reserves to $4 billion. This liquidity provides approximately 2.3 years of coverage for dividend obligations on its preferred securities, while Strategy maintained STRC’s annualized dividend rate at 12%.

Additionally, the firm repurchased $106 million of STRC shares, aiming to push the stock back toward its $100 stated value.

Looking ahead, Strategy referenced its second-quarter earnings call, noting that it took 70 trading days for STRC to reach par after trading at $90 in July 2025 following its initial public offering. Applying this same timeframe from when the stock fell outside its targeted range in late May, the company is eyeing Sept. 8 as a potential date for the preferred stock to return to its $100 par value. Market dynamics may ultimately dictate the actual timeline.