MicroStrategy stock jumps 7% following a fresh 950 bitcoin purchase and preferred stock buyback, as the company capitalizes on a market-wide crypto rally that sent bitcoin above $85,000.
Strategy disclosed purchase of 950 bitcoin and repurchase of preferred stock, driving shares up 7% pre-market.
Bitcoin price jumped more than 6% to above $85,000, its highest level since January, amid a crypto rally.
Strategy repurchased about 1.77 million preferred shares, supporting the preferred stock's value.
Coinbase CEO Brian Armstrong commented on crypto legislation, but no direct financial impact on the company.
MicroStrategy shares climbed 7% in pre-market trading after the firm disclosed the acquisition of 950 bitcoin and the repurchase of 1.77 million preferred shares. This strategic move coincides with a broader crypto market rally that pushed bitcoin prices past $85,000, marking the asset's highest valuation since January.
Shares rose due to the company's disclosure of a 950 bitcoin purchase and a significant preferred stock buyback, coupled with a broader rally in the cryptocurrency market.
Following recent capital allocations, MicroStrategy reports USD reserves of $1.05 billion and total cash reserves of $5.04 billion.