Semler Scientific's Bitcoin Bet: A 78.7% BTC Yield

Semler Scientific, Inc. (Nasdaq: SMLR), a pioneering company in developing and marketing technology products and services to combat chronic diseases, has made waves in the tech industry with its strategic acquisition of bitcoin (BTC). In a recent announcement, the company revealed it has purchased an additional 303 BTC, bringing its total holdings to 1,873 BTC. This significant investment has resulted in an impressive Bitcoin Yield (BTC Yield) of 78.7%.



Semler Scientific's BTC Yield metric represents the percentage change period-to-period of the ratio between its bitcoin holdings and its Assumed Diluted Shares Outstanding. This key performance indicator (KPI) helps assess the performance of the company's strategy of acquiring bitcoin. To account for dilution from share issuance, the metric uses Assumed Diluted Shares Outstanding, which includes all additional shares that would result from the assumed exercise of all outstanding stock option awards, not taking into account vesting conditions or exercise price. This approach allows the metric to adjust for changes in the number of shares outstanding due to share issuance, providing a more accurate representation of the company's bitcoin holdings relative to its total diluted shares.



Comparing Semler Scientific's BTC Yield to traditional financial yield metrics, such as bond yields or dividend yields, offers valuable insights into the company's bitcoin acquisition strategy. From July 1, 2024, to December 4, 2024, Semler Scientific's BTC Yield stood at 78.7%, highlighting its significant progress in accumulating bitcoin. In contrast, the 10-year US Treasury Bond Yield was 3.84% on December 4, 2024, and the S&P 500 Dividend Yield was 1.9% on the same date. While BTC Yield is not directly comparable to these traditional metrics, it underscores the potential of Semler Scientific's bitcoin acquisition strategy.

Semler Scientific's BTC Yield metric plays a significant role in the company's bitcoin purchasing strategy and shareholders' perspective. The high BTC Yield suggests that Semler Scientific's bitcoin acquisition strategy has been highly accretive for stockholders. However, it is essential to consider the limitations of this metric and the risks associated with investing in bitcoin. As of December 4, 2024, Semler Scientific's BTC Yield stood at 78.7%, reflecting a strong return on investment since adopting its bitcoin treasury strategy in July 2024. This metric helps Semler Scientific assess the performance of its bitcoin acquisition strategy, which is viewed as accretive to stockholders. By issuing additional shares of its common stock to fund bitcoin purchases, Semler Scientific aims to maximize stakeholder value.

In conclusion, Semler Scientific's Bitcoin Yield of 78.7% demonstrates the company's strategic and successful approach to acquiring bitcoin. This metric provides a unique perspective on the performance of the company's bitcoin acquisition strategy and highlights the potential of cryptocurrencies as an investment for tech companies. As the tech industry continues to evolve, companies like Semler Scientific are at the forefront of innovation, pushing the boundaries of traditional investment strategies.