Strive Inc. (ASST) Plunges 5.06% in Pre-Market as Bitcoin Strategy and Financial Underperformance Weigh

Strive Inc. (ASST) fell 5.0577% in pre-market trading on Dec. 30, 2025, as market participants grapple with the company's aggressive Bitcoin accumulation strategy and financial underperformance. The stock's sharp decline follows a volatile year marked by high-risk corporate maneuvers and valuation dislocations.

Strive's strategic pivot in 2025 centered on expanding its Bitcoin holdings to 7,525 BTC through mergers and equity financing, creating a hybrid model blending digital assets with traditional finance. However, the company reported a $192M GAAP net loss in Q3 2025, with a -996% EBIT margin and a price-to-sales ratio of 1,233x, far exceeding industry norms. These metrics highlight the precarious balance between Bitcoin's price swings and operational losses.

Institutional investors injected $178M into ASST, yet insider selling by executives and governance concerns underscored risks in its equity-diluted structure. The Semler Scientific merger, offering a 210% premium to shareholders, aims to diversify revenue streams but risks further diluting existing shareholders. Critics argue the all-stock deal exacerbates volatility while amplifying Bitcoin exposure.

Strive's valuation remains disconnected from fundamentals, with a price-to-book ratio of 349.1x and negative return on assets (-27.85%). The stock's 27% October surge and 11.63% November drop reflect market uncertainty as investors weigh the company's speculative Bitcoin treasury model against its lack of profitability. Analysts caution that reliance on perpetual equity financing and digital asset markets introduces significant governance and liquidity risks.