Start here if you're new
what it is
Strategy sells analytics software and uses capital to buy bitcoin.
how it gets paid
Last year Strategy made $477M in revenue. Product support was the main engine at $214M, or 45% of sales.
why it's growing
Revenue grew ~3.0% last year to ~$477M FY. A ~$354M figure in some feeds does not foot as one operating quarter inside that FY total—treat it as mis-labeled (TTM chunk, non-GAAP, or bad aggregation) before inferring +175% QoQ growth.
what just happened
Latest-quarter software revenue is far below ~$354M if FY is ~$477M—use the filing for the quarter, not a headline that implies more than a year of sales in three months.
At a glance
B++ balance sheet — above average — nothing keeping you up at night
5/100 earnings predictability — expect surprises
6.0x trailing p/e — the market's not buying it — or you found a deal
2.7% return on capital — nothing to write home about
$3.35 fy2024 eps est
xvary composite: 50/100 — below average
What they do
Strategy sells analytics software and uses capital to buy bitcoin.
The software side brings in $477M a year. The bitcoin side is 597,325 coins. Beta is 2.45, so the stock swings harder than the market. That means you are buying a normal business and a giant coin bet in one ticker.
How they make money
$477M
annual revenue · their business grew +3.0% last year
Product support
$214M
1.0%
Subscription services
$150M
+18.0%
Product licenses
$81M
12.0%
Other services
$32M
5.0%
The products that matter
corporate bitcoin acquisition and holding
Bitcoin Treasury
$42.6B at $71,300 per BTC
It holds 597,325 Bitcoin, worth about $42.6B at the referenced price, which is 2.84% of the total possible supply. That is the asset base investors actually care about.
2.84% of supply
enterprise analytics software
Enterprise Analytics
$477M revenue · +3.0%
It generated $477M in revenue last year with a 69.6% gross margin. Real business, real customers, just not large enough to explain a $44B equity value.
69.6% gross margin
Key numbers
$477M
annual revenue
That is the whole software business for a company with a $44B market cap. The gap tells you where the valuation is really coming from.
69.6%
gross margin
That means 69.6 cents of every sales dollar stayed after direct costs. The software side still has real cash-making power.
$8.2B
long-term debt
That is a huge balance-sheet load next to $477M of annual revenue. Debt matters more here than it does at most software firms.
6.0x
trailing p/e
That looks cheap for software. It looks less cheap when the stock is also a bitcoin wrapper.
Financial health
B++
strength
- balance sheet grade B++ — above average financial health
- risk rank 4 — safer than 20% of stocks
- price stability 5 / 100
- long-term debt $8.2B (16% of capital)
B++ — functional but not a standout on the balance sheet.
Total return vs. market
Return history isn't available for MSTR right now.
source: institutional data · return history unavailable
What just happened
mixed · verify quarter labels
Check the filing for latest-quarter software revenue (~$477M FY on this page)—do not trust ~$354M +175% vs. prior year as a clean operating quarter inside that FY.
Gross margin was ~69.6% on the software business. EPS prints like ~$27 can include large non-operating / fair-value items—read the statement, not the headline. The equity story remains BTC treasury + software coupon.
~$477M
FY revenue (software)
$27.71
eps
69.6%
gross margin
the number that mattered
~$477M FY software revenue vs ~$44B market cap is why BTC dominates the narrative—the dropped ~$354M quarter headline was inconsistent with that FY bridge.
source: company earnings report, 2026
Get this snapshot in your inbox
This page, delivered free — plus weekly updates when the numbers change. plain english, no spam.
weekly updates
earnings alerts
plain english
no spam
What could go wrong
the #1 risk is bitcoin price volatility on a 597,325-BTC treasury.
med
bitcoin drawdowns hit the balance sheet fast
The bitcoin treasury is worth about $42.6B. A 30% drop in bitcoin would cut roughly $12.8B from that value. Against a $44B market cap, that is not a side issue.
impact: the stock can reprice on bitcoin alone, even if the software business changes very little
med
the model depends on fresh capital
In March 2026, Strategy sold 11.8M shares of 10% Series A Perpetual Preferred Stock to fund more purchases. If that funding window narrows, treasury growth slows with it.
impact: less capital raised means less bitcoin accumulation, which weakens the entire per-share treasury story
med
$8.2B of debt still matters
Long-term debt is $8.2B, or 16% of capital. That is manageable when capital markets stay open. It matters a lot more if bitcoin falls and investors demand higher yields.
impact: financing costs can rise just as treasury values fall. That is bad timing by definition
med
the software business barely offsets treasury risk
Enterprise analytics generated $477M in revenue last year and only 2.7% return on capital. At that size, the operating business does not stabilize the stock when bitcoin gets volatile.
impact: if investors stop paying for treasury optionality, there is not much operating cushion underneath
A 30% move in bitcoin is roughly a $12.8B swing on the treasury alone — against a company valued at about $44B.
source: institutional data · regulatory filings · risk analysis
Pay attention to
treasury scale
597,325 BTC is the whole story
That holding is worth about $42.6B and represents 2.84% of total possible bitcoin supply. If this number keeps rising, the treasury thesis stays alive.
capital deployment
Mar 16, 2026 purchase set the pace
Strategy bought 22,337 Bitcoin for roughly $1.57B at $70,194 per coin. Watch whether management keeps buying at this size or has to slow down.
funding risk
STRE issuance showed the model in plain sight
The 11.8M-share preferred offering was not a one-off. It was a reminder that new capital is the fuel for new bitcoin purchases.
street view
The target range is doing the arguing for you
20 analysts average $409.68, but the range runs from $175 to $705. That spread tells you consensus is a polite fiction here.
Analyst rankings
earnings predictability
5 / 100
in human-speak, analysts do not have a clean handle on quarter-to-quarter earnings because bitcoin accounting can swamp the operating business.
street target dispersion
$175–$705
That is not a tidy consensus. It is the market admitting the stock is a moving argument about bitcoin, leverage, and access to capital.
source: institutional data
Institutional activity
institutional ownership data for MSTR is being compiled.
source: institutional data
Price targets
3-5 year target range
n/a
n/a
$162
current price
n/a
target midpoint · n/a from current
Want the deeper analysis?
The full deep dive: dcf model, scenario analysis, competitive moat breakdown, and quarterly tracking — everything on this page, taken further.
see plans from $5/moThe deep dive