Strategy ($MSTR) Falls 15% As Investors Brace For Earnings

"Shares of Strategy dropped sharply Thursday, tumbling more than 15 % in heavy trading as markets reacted to deepening weakness in Bitcoin and ahead of the company's quarterly earnings report scheduled after the market close. Analysts are pricing in a sizable post-earnings move for Strategy, with options markets implying a potential swing of roughly ±8.3% to 8.7% following the report. The company's Q4 2025 earnings call is set for later today at 5 p.m. ET, with a livestream available on Bitcoin Magazine's YouTube channel."

"It's been a rough week for Strategy, tumbling from the $150 range to sub $110 per share. The decline marked one of the largest single‑day moves for Bitcoin‑linked equity in recent months and reflected intensifying concerns among institutional and retail investors. The slide came as Bitcoin's price plunged toward new year-long lows, extending a broader crypto downturn that has erased significant gains since late 2024."

"The Bitcoin sell‑off has imposed marked unrealized losses on Strategy's balance sheet, where crypto holdings account for the vast majority of the company's assets. Investors and traders have been vocal on the internet this week about heightened uncertainty surrounding Strategy's earnings call, given that the company's financial results will directly reflect Bitcoin's price volatility under fair value accounting rules. Market watchers noted that the fair‑value marking of the company's holdings could translate swings in BTC prices into sizeable swings in reported earnings."

Strategy shares dropped over 15% on Thursday in heavy trading as Bitcoin weakened and before the company's quarterly earnings report after the market close. Options markets imply a post-earnings swing of roughly ±8.3–8.7%. The Q4 2025 earnings call is set for 5 p.m. ET with a livestream on Bitcoin Magazine's YouTube channel. Shares fell from about $150 to below $110 this week, marking one of the largest single‑day moves for a Bitcoin‑linked equity. Bitcoin trading near $66,000 has produced marked unrealized losses on Strategy's balance sheet, where crypto holdings make up the majority of assets, raising concerns about fair‑value reporting volatility.

Read at Bitcoin Magazine