U.Today – Max Keiser, a staunch Bitcoin supporter and advisor to the president of El Salvador, has made a surprising statement about MicroStrategy, the business intelligence company founded and run by Michael Saylor.
He said the growth potential for MicroStrategy's stock price is basically unlimited.
Keiser's mega-bullish prediction on MSTR
Max Keiser believes that many financiers who have been in the profession for many decades still do not understand the successful strategy employed by MicroStrategy and why its stock price is soaring.
He also believes that MicroStrategy stock “literally has no ceiling.”
MicroStrategy buys more Bitcoin
On Thursday, Michael Saylor's company announced that it had acquired another amount of Bitcoin in June: 169 BTC for $11.4 million.
MicroStrategy currently owns a total of 226,500 Bitcoin tokens, a Bitcoin acquisition that followed its previous purchase in mid-June. In fiat currency, this equates to approximately $14,659,329,150 at the current exchange rate. This purchase was announced on July 31. The total amount was purchased for $8.3 billion at an average price of $36,821 per coin.
MicroStrategy (MSTR) stock price fell 6.5% in a trading session before the company revealed its second-quarter earnings on Thursday. MSTR fell alongside a major decline seen in both the stock and cryptocurrency markets. Still, over the past year, MSTR had seen a 3x increase, while Bitcoin’s price increased 2x over the same period.
The company plans to raise $2 billion to obtain more BTC
The company reported a net loss of nearly $103 million (roughly $5.74 per share) compared to the $22.2 million it earned a year earlier ($1.52 per share). The reported losses came as MicroStrategy took an impairment charge on its Bitcoin holdings ($180.1 million) compared to $24.1 million in the second quarter of last year.
Earlier this year, MicroStrategy raised money twice for an additional allocation to Bitcoin by offering debt to investors. In March, they raised $500 million, but in the summer they started with the same goal but later increased it to $700 million. According to Chinese cryptocurrency journalist Colin Wu, the company plans to raise around $2 billion again to further increase its Bitcoin bet.
Earlier today, Michael Saylor posted a tweet showing how Bitcoin has helped it vastly outperform other tech companies by share price.
This article was originally published on U.Today
