Saylor's Strategic Setback: MicroStrategy Snubbed From S&P 500, Sparks Bearish Outlook

Strategy, formerly known as MicroStrategy, a leading business intelligence firm, has continued to cement its commitment to its Bitcoin treasury strategy, a move that has recently manifested in an increased annual dividend rate for its shareholders. Chairman Michael Saylor announced via an X post on September 2nd that the company had boosted its annual dividend from 9.0% to 10.0%, signaling robust growth in its operational and financial performance and bolstering investor confidence. This increase comes ahead of the next payout date scheduled for September 30, 2025, with the firm's stock (STRC) seeing its price surge to $97.75 and market capitalization hit an impressive $2.74 billion.
The hike in dividend rate is largely attributed to Strategy's substantial Bitcoin acquisitions and subsequent 'winnings'. Just hours before the dividend announcement, Saylor confirmed another significant Bitcoin purchase: 4,048 BTC, valued at approximately $449.3 million, acquired at an average price of $110,981 per BTC. This latest acquisition pushed Strategy's total Bitcoin holdings to a massive 636,505 BTC, purchased at an average price of $73,765 per BTC. This extensive portfolio has resulted in a stunning gain of approximately 50% for the firm year-to-date, demonstrating Bitcoin's role as a major powerhouse in Strategy's financial dealings and enabling higher returns for shareholders.
Despite these strong financial indicators, Strategy's stock (MSTR) has recently come under close scrutiny. Legendary trader Peter Brandt questioned whether the stock's current performance, boxed between $330 and $480 since January and now trading at $330.26, represents a final top or merely a pause before further gains. Brandt's dilemma highlights the market's hesitation, especially as moving averages have flattened and volatility compressed to pre-2024 levels, when the company's Bitcoin accumulation accelerated. Strategy's balance sheet remains more exposed to Bitcoin than any other known firm, with its 636,505 BTC portfolio equating to $70.47 billion at current values. The correlation between Bitcoin and MSTR remains critical, with the two moving almost in sync, making Brandt's query about investor willingness to assign more value to Strategy particularly pertinent.
Further impacting market sentiment, Strategy faced a notable setback with its rejection from inclusion in the S&P 500 index. On September 5th, the official decision was negative, despite the company reportedly meeting various criteria such as market cap, liquidity, and public float. Michael Saylor reacted to this decision by posting an infographic on X, illustrating that MSTR had significantly outperformed both the S&P 500 (SPY) and Bitcoin itself in terms of
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