Strategy Inc Common Stock Class A (MSTR)

FairStock Score: 53/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I approach Strategy Inc as a Graham-style analyst, not a crypto enthusiast. The company describes itself as a Bitcoin treasury company and also sells AI-powered analytics software, with 1,539 employees. The software revenue is small: in fiscal full year 2025, the period ended 2025-12-31, revenue was $477.2 million, and in fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $122.4 million. That is a modest operating base against a $53.6 billion market cap at the 2026-10-13 close of $152.18. The earnings record is wildly unstable. In fiscal full year 2023, the period ended 2023-12-31, net income was $429.1 million and diluted EPS was $2.64. Then fiscal full year 2024, the period ended 2024-12-31, produced a net loss of $1.2 billion, diluted EPS -$6.06; fiscal full year 2025 produced a net loss of $3.8 billion, diluted EPS -$15.23. In fiscal Q2 2026, net loss was $8.2 billion, diluted EPS -$24.45, after a $12.5 billion net loss in fiscal Q1 2026, the quarter ended 2026-03-31. Those swings suggest reported earnings are driven by the Bitcoin treasury strategy, not a durable software franchise. Financial health is odd: debt-to-equity is only 0.15 and the Altman Z-score is 4.09, but trailing free cash flow is -$21.7 billion, a -40.5% FCF yield. The Piotroski F-score is 4/9, and ROE is -63.56% by FairStock's calculation. A beta of 3.60 and 52-week range of $81.81-$306.16 confirm extreme volatility. The Lynch classification is TURNAROUND — a loss in the latest year after earlier profits. For value investors, a turnaround requires clear earning power and a margin of safety. Here the price looks like a speculation on Bitcoin exposure, not a bargain on proven software earnings. I would demand evidence that the treasury strategy can produce sustainable per-share value without massive cash burn.

In plain English: Strategy Inc is a Bitcoin treasury company that also sells analytics software. Its recent numbers show very large losses and negative cash flow, so the business looks financially weak. At the 2026-10-13 close of $152.18, the price does not look cheap compared with its small revenue and unstable profits.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer