Strive Adds 2,500 BTC, Strategy Sells 32 BTC

Strive bought 2,500 bitcoin between May 23 and June 1 at an average price of $74,092 per coin, spending about $185.2 million to raise its corporate treasury from 16,500 BTC to 19,000 BTC, according to an 8-K filing.

The purchases moved Strive past Coinbase and Riot Platforms to become the seventh-largest public corporate bitcoin holder and left it about 5,300 BTC behind sixth-ranked Bullish.

The filing also showed Strive increased cash and cash equivalents to $137.3 million from $93.3 million and retained an approximately $50 million position in Strategy's STRC perpetual preferred stock. Strive CEO Matt Cole wrote on X that “Cash was increased to maintain an 18-month dividend reserve,” and the company posted a quarter-to-date bitcoin yield of 23% and a year-to-date yield of 36.7%.

Strategy disclosed the sale of 32 bitcoin for roughly $2.5 million and noted the proceeds would help fund dividends on its STRC perpetual preferred stock. The sale was Strategy's first disclosed bitcoin disposal since late 2022.

Benchmark initiated coverage of Strive with a Buy rating and a $32 price target. Analyst Mark Palmer highlighted Strive's SATA perpetual preferred stock as a source of “permanent capital” for accumulating bitcoin, noted the company retired debt related to its acquisition of Semler Scientific, reported no outstanding debt or encumbered bitcoin, and cited an asset management unit that oversees more than $2.5 billion in assets.

Strive shares fell more than 9% to $15.60 in early Tuesday trading as broader crypto market weakness pushed bitcoin toward a near one-month low near $68,500. The company continues to fund bitcoin purchases primarily through preferred-share issuance and maintains reserves to cover upcoming dividend obligations, the analyst note added.