Bitcoin News Today: Strategy Shares Fall 1.4% After Hours Despite $10 Billion Q2 Profit Surge

Strategy’s shares declined 1.4% in after-hours trading on Thursday despite the company reporting a record $10 billion profit for the second quarter of 2025. CEO Phong Le described the firm as the “most misunderstood and undervalued stock” in the market during a call with investors, citing the company’s strong financial performance and strategic focus on Bitcoin. The firm, co-founded by Michael Saylor, saw its operating income surge 7,100% year-on-year to $14 billion, attributed to the adoption of fair value accounting which includes unrealized gains from its Bitcoin holdings [1].

The firm also announced plans to raise $4.2 billion through preferred stock offerings, with the proceeds to be used to buy more Bitcoin. This follows a $2.5 billion raise in July, which allowed the company to purchase 21,021 Bitcoin. At current prices, the new capital could fund the acquisition of an additional 36,128 Bitcoin. The firm’s upgraded “42/42” plan aims to acquire $84 billion worth of the cryptocurrency, signaling its long-term commitment to Bitcoin as a core asset [1].

Financial metrics highlighted during the earnings call indicated that Strategy’s estimated operating income for the 2025 fiscal year is expected to reach $34 billion, placing it among the top nine earners in the S&P 500. Le emphasized that the firm’s market capitalization ranks 96th in the S&P 500 and that it has one of the lowest price-to-earnings multiples among companies in the index. He argued that the stock’s current valuation fails to reflect its fundamentals [1].

The firm’s software business, which includes business intelligence products and subscription services, generated $114 million in revenue for the quarter. While the company’s common stock, MSTR, closed 1.73% higher at $401.86 on Thursday, it fell 1.4% after the market closed [1].

In terms of Bitcoin-specific performance, Strategy’s BTC yield increased 25% in the second quarter, while its BTC $ Gain exceeded $13 billion—meeting the firm’s end-of-year targets ahead of schedule. The company has now raised its full-year BTC Yield and BTC $ Gain targets to 30% and $20 billion, respectively. Le noted that the ability to surpass initial targets is a sign of the firm’s effective execution [1].

The firm’s aggressive Bitcoin strategy has drawn attention from analysts, who have pointed to its disciplined cost management and high-growth exposure to digital assets as key strengths. Despite the record earnings, the stock’s mixed performance in after-hours trading reflects ongoing skepticism from some investors. The CEO reiterated that the company is not chasing short-term trends but is focused on capturing undervalued long-term opportunities [1].

In the broader market, firms outside the technology and finance sectors showed varied performances. For instance, Park Hotels reported a $2 million net loss for Q2 2025, while First Solar provided 2025 earnings guidance of $13.5–$16.5 per share, driven by record sales and supportive regulatory conditions [2][3]. These outcomes highlight the divergent fortunes of companies across different industries amid macroeconomic uncertainty.

Strategy remains committed to its long-term vision of leveraging blockchain and smart contract technologies to drive returns and maintain a diversified portfolio. Whether this strategy will secure sustained investor confidence will depend on the company’s ability to continue delivering strong results and navigating the evolving regulatory and economic landscape [1].

Sources:

[1] Saylor's Strategy swings to quarterly profit amid crypto... https://www.aol.com/news/saylors-strategy-swings-quarterly-profit-211319080.html

[2] Park Hotels' Q2 Net Loss: A Misunderstood Turnaround... https://www.ainvest.com/news/park-hotels-q2-net-loss-misunderstood-turnaround-opportunity-hospitality-sector-2508/

[3] First Solar outlines 2025 EPS guidance of $13.5–$16.5... https://seekingalpha.com/news/4476188-first-solar-outlines-2025-eps-guidance-of-13_5-16_5-amid-evolving-tariff-landscape-and-strong