Strategy

MSTR · Nasdaq · Information Technology · Financials, fiscal 2016 to 2025

MSTR · Last close · October 26, 2026

$139.82

Strategy's revenue rose 3.0% to $477 million in fiscal 2025. Its operating margin was −1,140.8%, down from −399.8% a year earlier. Free cash flow was −$75 million. The diluted share count rose 44.2%.

STRATEGY INC Latest fiscal year ended December 31, 2025 10-K filed February 19, 2026 · 0001050446-26-000020 Updated October 11, 2026

Revenue

$477M

3.0%

Operating margin

−1,140.8%

741.0 pts

Net income

−$3.8B

Free cash flow

−$75M

Return on capital

−11.4%

1.6 pts

Market cap

$49.3B

Oct 26 close

P/E

—

Loss: no P/E

Operating margin is operating income as a share of revenue. Free cash flow is cash from operations minus capital spending. Return on capital is after-tax operating income as a share of the money invested in the business: debt plus equity, minus cash. Market cap is the last closing share price times the latest diluted share count, so it is approximate. P/E is the last close divided by diluted earnings per share over the last four quarters, or the latest fiscal year where the quarters aren't available; there is none when the company made a loss.

About these figures. Strategy had no borrowings before its first convertible notes in December 2020, so debt counts as zero in earlier years. From 2025 Strategy carries its bitcoin at market value, so its profits and losses swing with the price of bitcoin; its revenue is still almost all from its analytics software. Share counts and per-share figures for earlier years are restated for a stock split (10-for-1), so every year is on today's share basis.

What Strategy does

Strategy, formerly MicroStrategy, runs two things at once. It says it is the first and largest company built around holding bitcoin as its main treasury asset. It also sells business analytics software, now with AI features, mostly to customers it already has. It changed its name from MicroStrategy on August 11, 2025.

On the bitcoin side, the company buys and holds bitcoin and raises money to buy more. It does this by selling Class A common stock and preferred securities through at-the-market offerings, which let a company sell shares gradually at market prices. In 2025 it issued five classes of preferred stock, each aimed at a different group of investors. As of February 13, 2026, it held approximately 717,131 bitcoins, which it bought for an aggregate purchase price of $54.5 billion. It also keeps a cash reserve, which stood at $2.25 billion on that date.

On the software side, it is moving customers from product licenses to cloud subscriptions. That shift can change when it records revenue. Its software revenue comes from licenses, subscriptions and related services.

Its biggest risks, as it describes them

A fall in the value of its bitcoin, which makes up the vast bulk of its assets, could hurt its ability to meet its financial obligations.
Bitcoin prices are highly volatile, and the rules for bitcoin and digital assets are new and unsettled.
Its results can swing a lot from period to period, and it may not stay profitable.
Heavier regulation and tax exposure that its bitcoin strategy brings.
The shift of software customers from licenses to cloud subscriptions, which could raise customer losses.

From Strategy's annual report on Form 10-K, filed February 19, 2026, in our words; the 10-K has the full description and every risk factor. Updated with each new 10-K.

Charts show fiscal years, from the 10-K filings.

Revenue and margins

Revenue

US$ billions, fiscal years

Margins

Percent of revenue

GrossOperatingNetFree cash flow

Net income and earnings per share

From fiscal 2016 to 2023, earnings per share grew 18.6% a year and net income 24.6% a year, as new shares raised the share count by 44% and diluted each share's earnings. Strategy then lost money in fiscal 2024 and 2025.

Net income

US$ billions, fiscal years; loss years in red.

Diluted earnings per share

US$ per share, fiscal years, restated for any stock splits; loss years in red.

Returns on capital

Return on capital and on equity

Percent. Return on capital is after-tax operating income over the money invested in the business (debt plus equity, minus cash); return on equity is net income over shareholders' equity. Both use the average of opening and closing balances.

Return on capitalReturn on equity

Cash flow

Free cash flow

US$ billions. Cash from operations minus capital expenditure; negative years in red.

Payouts and share count

Dividends and buybacks

US$ billions, cash paid in each fiscal year

DividendsShare buybacks

Diluted share count

Weighted-average diluted shares, millions

Valuation

Two ways to value Strategy yourself, both starting from its filings: a discounted cash flow model and the price-to-earnings method.

Discounted cash flow (DCF)

A discounted cash flow (DCF) model values a business as the cash it may generate in future, discounted back to today. The starting figures come from Strategy's 10-K (or, for net cash and shares, its latest 10-Q) and the assumptions are yours: start from one of three example scenarios, then change any figure to see what it implies for a share, and how that compares with the last share price.

The example scenarios need a positive starting cash flow. Strategy's free cash flow was negative in fiscal 2025 and over the last three years, and so is cash from operations minus depreciation. You can still enter your own figures in the calculator.

From the filings

Starting free cash flow, US$ millions

Cash from operations minus capital spending in fiscal 2025.

Net cash, US$ millions

Cash and short-term investments minus debt and finance leases at December 31, 2025. Negative means net debt.

Diluted shares, millions

Weighted-average diluted shares in fiscal 2025.

Your assumptions

Start from

Fitted to Strategy's own revenue growth, as above. Cautious: growth of -2% then 0% a year, 2% after year 10, a 11% discount rate. Base: growth of 0% then 1% a year, 2.5% after year 10, a 10% discount rate. Optimistic: growth of 2% then 2.5% a year, 3% after year 10, a 9% discount rate.

Free cash flow growth, years 1 to 5 (% a year)

Free cash flow growth, years 6 to 10 (% a year)

Growth after year 10 (% a year)Long-run growth forever after year 10. Usually close to inflation, and always below the discount rate.

Discount rate (% a year)The yearly return an investor wants for the risk. A higher rate gives a lower value.

Value per share on these assumptions

—

Last close, October 26, 2026: $139.82
Value on these assumptions, against the last close: —

Cash flows in years 1 to 10, valued today: —
Everything after year 10, valued today: —
Plus net cash: —
Share of value from after year 10: —

Projected free cash flow

US$ billions. Each column is one year's projected free cash flow, split into what it is worth today and the part removed by discounting.

Value todayRemoved by discounting

How the value changes with two assumptions

Value per share in US$, with the growth rates above. The highlighted cell matches the current assumptions.

How the model works. Free cash flow grows at the first rate for five years and the second rate for five more, and each year is discounted at the discount rate. Everything after year 10 is valued as year-10 cash flow × (1 + growth after year 10) ÷ (discount rate − growth after year 10), discounted back ten years. Net cash is added and the total is divided by diluted shares. The result depends entirely on the assumptions. It is not a forecast, a price target or a recommendation. The last close is the consolidated US closing price, from Databento.

Price-to-earnings (P/E) method

Another common way to value a company is to multiply its earnings per share by a price-to-earnings (P/E) multiple: the number of years of today's earnings an investor pays for a share. A higher multiple usually means investors expect earnings to grow. Choose a multiple, for example from similar companies, to see the value it gives.

The P/E method needs positive earnings, and Strategy's latest diluted earnings per share were negative or zero.

Balance sheet

Fiscal year end	FY21	FY22	FY23	FY24	FY25
Cash and short-term investments	63	44	47	38	2,302
Debt incl. finance leases	2,155	2,379	2,183	7,192	8,190
Net debt (negative means net cash)	2,092	2,335	2,136	7,154	5,889
Net debt to EBITDA	—	—	—	—	—
Debt to equity	2.2x	—	1.0x	0.4x	0.2x
Interest coverage	−38.4x	−29.4x	−2.8x	−41.6x	−117.0x
Current ratio	0.9x	0.8x	0.8x	0.7x	5.6x
Quick ratio	0.9x	0.8x	0.8x	0.7x	5.6x

US$ millions unless stated, at each fiscal year end. Net debt to EBITDA is debt minus cash, divided by operating income before depreciation and amortization: roughly how many years of those earnings the net debt equals. Debt to equity is debt as a multiple of shareholders' equity. Interest coverage is operating income divided by interest expense. The current ratio is current assets over current liabilities; the quick ratio leaves out inventory.

Insider trades

Over the 12 months between October 27, 2025 and October 26, 2026, 4 insiders bought $2.2 million of Strategy shares on the open market, and 6 insiders sold $36.1 million, $24.7 million of it under trading plans set up in advance.

Date	Insider	Trade	Shares	Price	Value	Filing
Oct 9, 2026	Jarrod M PattenDirector	Sold	1,350	$156.16	$210,812	Form 4
Oct 8, 2026	Jarrod M PattenDirector	Sold	1,400	$151.01	$211,413	Form 4
Sep 22, 2026	Jarrod M PattenDirector	Sold	475	$171.00	$81,225	Form 4
Sep 21, 2026	Jarrod M PattenDirector	Sold	1,425	$167.33	$238,440	Form 4
Sep 4, 2026	Thomas C. ChowEVP & General Counsel	Sold	106	$138.75	$14,708	Form 4
Aug 27, 2026	Jarrod M PattenDirector	Sold	1,850	$130.00	$240,500	Form 4
Aug 25, 2026	Jarrod M PattenDirector	Sold	2,775	$125.33	$347,800	Form 4
Aug 24, 2026	Jarrod M PattenDirector	Sold	925	$122.34	$113,164	Form 4
Aug 7, 2026	Jarrod M PattenDirector	Sold	3,800	$102.41	$389,150	Form 4
Jul 27, 2026	Jarrod M PattenDirector	Sold	1,950	$98.48	$192,036	Form 4
Jul 24, 2026	Jarrod M PattenDirector	Sold	1,950	$92.46	$180,297	Form 4
Jul 22, 2026	Jarrod M PattenDirector	Sold	1,250	$100.00	$125,000	Form 4

The latest 12 of 66 trades. Open-market purchases and sales by officers, directors and 10% owners, from their Form 4 filings with the SEC: one row per person, day and filing, at the day's average price. Grants, option exercises and shares withheld for tax aren't counted. Insiders buy and sell for many reasons, such as taxes, spreading their savings or a plan set up months earlier, so a trade on its own says little about where a company is heading. For information only, not investment advice. Insider trades at all companies

Piotroski F-score

The F-score counts how many of nine simple tests of profitability, funding and efficiency a company passed in a year (Piotroski, 2000). The more tests passed, the stronger the year: 8 or 9 is strong, 0 to 2 weak. Companies that report no gross profit are scored on the other eight.

Test	FY23	FY24	FY25
Net income is positive	Pass	Fail	Fail
Cash from operations is positive	Pass	Fail	Fail
Return on assets rose	Pass	Fail	Pass
Cash from operations exceeds net income	Fail	Pass	Pass
Debt fell relative to assets	Pass	Pass	Pass
Current ratio rose	Fail	Fail	Pass
Share count didn't rise	Fail	Fail	Fail
Gross margin rose	Fail	Fail	Fail
Revenue rose relative to assets	Pass	Fail	Fail
F-score	5 of 9	2 of 9	4 of 9
Accruals ratio	11.6%	−7.3%	−8.6%

The accruals ratio is net income minus cash from operations, over average total assets.

Compare

Put Strategy side by side with any other company we cover: revenue, growth, margins, cash flow and returns, with ten years of charts.

Similar companies

Company	Year	Revenue growth	Operating margin	Free cash flow margin	Return on capital	Net debt to EBITDA	F-score	Compare
Strategy	FY25	3.0%	−1,140.8%	−15.8%	−11.4%	—	4
Navan	FY26	30.8%	−28.0%	4.7%	—	—	—	Compare
Asana	FY26	9.2%	−24.9%	10.9%	—	—	—	Compare
Clear Secure	FY25	16.9%	20.7%	38.1%	—	—	—	Compare
C3.ai	FY26	−35.7%	−199.2%	−76.8%	—	—	—	Compare

Each company's latest fiscal year. Fiscal years end in different months, so the periods don't line up exactly. Free cash flow margin is free cash flow as a share of revenue. Net debt to EBITDA is explained under the balance sheet, and the F-score above.

10 years of figures

Fiscal year	FY16	FY17	FY18	FY19	FY20	FY21	FY22	FY23	FY24	FY25
Income statement
Revenue	514	504	498	486	481	511	499	496	464	477
Revenue growth	−3.1%	−1.9%	−1.2%	−2.3%	−1.1%	6.2%	−2.2%	−0.6%	−6.6%	3.0%
Gross profit	420	407	398	386	390	419	396	386	334	328
Research and development	73	79	102	109	104	117	127	120	118	94
Operating income	110	73	4	−1	−14	−784	−1,276	−115	−1,853	−5,444
Net income	92	18	22	34	−8	−536	−1,470	429	−1,167	−3,848
Diluted EPS (US$)	0.80	0.16	0.20	0.33	−0.08	−5.34	−12.98	2.64	−6.06	−15.23
Diluted shares (millions)	115	116	114	103	97	100	113	166	192	278
Cash flow
Cash from operations	111	78	11	61	54	94	3	13	−53	−67
Capital expenditure	2	4	7	10	4	3	2	3	3	8
Free cash flow	108	74	4	51	50	91	1	10	−56	−75
Dividends paid	0	0	0	0	0	0	0	0	0	0
Share buybacks	0	0	111	73	123	0	0	0	0	0
Acquisitions	0	0	0	0	0	0	0	0	0	0
Stock-based compensation	12	14	15	10	11	44	64	70	77	53
Balance sheet at fiscal year end
Cash and short-term investments	589	675	576	566	60	63	44	47	38	2,302
Debt incl. finance leases	0	0	0	0	486	2,155	2,379	2,183	7,192	8,190
Total assets	768	933	856	917	1,466	3,557	2,410	4,762	25,844	61,641
Total liabilities	216	328	326	408	913	2,578	2,793	2,598	7,614	10,598
Shareholders' equity	566	606	530	509	446	979	−383	2,165	18,230	44,124
Margins and ratios
Gross margin	81.9%	80.8%	80.0%	79.4%	81.1%	82.0%	79.4%	77.8%	72.1%	68.7%
Operating margin	21.3%	14.5%	0.8%	−0.2%	−2.8%	−153.6%	−255.5%	−23.2%	−399.8%	−1,140.8%
Net margin	18.0%	3.6%	4.5%	7.1%	−1.6%	−104.8%	−294.4%	86.5%	−251.7%	−806.4%
Free cash flow margin	21.1%	14.8%	0.8%	10.4%	10.4%	17.8%	0.1%	2.0%	−12.1%	−15.8%
Return on capital	—	—	—	—	−2.6%	−31.4%	−40.1%	−2.9%	−9.9%	−11.4%
Return on equity	18.1%	3.1%	4.0%	6.6%	−1.6%	−75.2%	−493.4%	48.2%	−11.4%	−12.3%
Return on assets	12.9%	2.1%	2.5%	3.9%	−0.6%	−21.3%	−49.3%	12.0%	−7.6%	−8.8%
Net debt to EBITDA	−4.5x	−7.6x	−75.0x	−74.5x	—	—	—	—	—	—

US$ millions unless stated. Where a later 10-K restated a year, the latest filed figure is shown. Download all figures (CSV, US$ millions)

Source: Strategy's Form 10-K filings, from SEC EDGAR. For information only, not investment advice. The Filing Desk is not affiliated with Strategy.