Strategy MSTR reported third-quarter 2025 earnings of $8.42 per share against the year-ago quarter loss of $1.56 per share. The Zacks Consensus Estimate was pegged at a loss of 11 cents per share.
Revenues of $128.7 million beat the Zacks Consensus Estimate by 9.9%. The figure climbed 11% year over year.
Bitcoin per share, which represents the ratio between MSTR’s bitcoin holdings and assumed Diluted Shares Outstanding, expressed in terms of Sats (“Sat” or a “Satoshi” is one one-hundred-millionth of one bitcoin, the smallest indivisible unit of a bitcoin), hit 41,370 as of Oct. 26.
MSTR Q3 in Detail
In the third quarter of 2025, product licenses and subscription services revenues jumped 63% year over year to $63.3 million and accounted for 49.2% of revenues. Subscription services soared 65.4% year over year to $46 million. Product licenses jumped 57% to $17.4 million. Product Support and Other Services revenues fell 16.2% and 12%, respectively.
Gross margin expanded 10 basis points on a year-over-year basis to 70.5%.
Strategy Inc Price, Consensus and EPS Surprise
Strategy Inc price-consensus-eps-surprise-chart | Strategy Inc Quote
Sales and marketing, and research and development expenses declined 15.5% and 32.1%, on a year-over-year basis, respectively. General and administrative expenses surged 13.9%, on a year-over-year basis.
Strategy reported operating income of $3.9 billion against the year-ago quarter’s operating loss of $0.4 billion. Operating income included an unrealized gain on MSTR’s digital assets worth $3.89 billion.
MSTR’s Bitcoin Details
Strategy is the world’s largest bitcoin treasury company, holding 640,808 bitcoins, for a total cost of $47 billion, implying $74K per bitcoin.
Bitcoin yield hit 26% year to date and was 25.9% at the end of the third quarter of 2025. The company now targets a bitcoin yield of 30% for 2025.
In dollar terms, bitcoin gain was $12.8 billion at the end of the third quarter and $12.9 billion year to date. The company now targets a gain of $20 billion for 2025.
Strategy’s Balance Sheet Details
As of Oct. 26, 2025, Strategy’s digital assets were comprised of approximately 640,808 bitcoins, with an original cost basis and market value of $47.4 billion and $70.9 billion, respectively. This reflects an average cost per bitcoin of approximately $74,032 and a market price per bitcoin of $110,600, respectively.
In the reported quarter, MSTR received net proceeds of approximately $5.1 billion and approximately $89.5 million between Oct. 1, 2025, and Oct. 26, 2025.
The company, through its common stock ATM program, raised $2.2 billion, $152.8 million through the STRK ATM program, $217.3 million through the STRF ATM program, and $48.5 million through the STRD ATM program.
In July 2025, Strategy received net proceeds of roughly $2.5 billion through the issuance and sale of 28,011,111 shares of the Variable Rate Series A Perpetual Stretch Preferred Stock (STRC Stock) at a public offering price of $90.00 per share.
MSTR Offers Positive 2025 Guidance
For 2025, Strategy expects operating income of $34 billion, net income of $24 billion, and earnings of $80 per share, based on abitcoin priceoutlook of $150,000 at the end of the year.
Zacks Rank & Stocks to Consider
Currently, Strategy has a Zacks Rank #3 (Hold).
Abacus Global Management ABL, American Healthcare REIT AHR and Accelerant Holdings ARX are some better-ranked stocks in the broader Zacks Finance sector. Each of the three stocks currently has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Abacus Global Management shares have declined 35% year to date. Abacus Global Management is set to report its third-quarter 2025 results on Nov. 6.
American Healthcare REIT shares have appreciated 59.4% year to date. American Healthcare REIT is set to report its third-quarter 2025 results on Nov. 6.
Accelerant Holdings shares are down 57.2% year to date. Accelerant Holdings is set to report its third-quarter 2025 results on Nov. 13.
Accelerant Holdings (ARX) : Free Stock Analysis Report
Strategy Inc (MSTR) : Free Stock Analysis Report
Abacus Life, Inc. (ABL) : Free Stock Analysis Report
American Healthcare REIT, Inc. (AHR) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
