The author of this article has a stake in MicroStrategy (MSTR). As the largest publicly traded holder of bitcoin, MicroStrategy (MSTR) has decided to keep the dividend rate for its perpetual preferred stock, Stretch (STRC), at 11.5% for May.
This marks the third month in a row that the dividend has remained at this level. The volume-weighted average price (VWAP) of $99.76 in April was close enough to the par value of $100 to justify maintaining the current dividend rate. Since its listing in July 2025 with a 9% dividend, STRC has experienced several increases as the company strives to minimize volatility and keep the stock price near its par value.
MicroStrategy positions STRC as a short-term, high-yield savings option, offering monthly cash distributions. Currently, STRC is trading at $99.75 and has been below par since April 15, but based on historical trends, it is expected to return to $100 next week. Meanwhile, MSTR's common stock has also shown signs of recovery, with a 33% increase in April, marking its first positive month in nine. After eight consecutive months of declines from August 2025 to March 2026, the stock had fallen by 75%, according to data from TradingView.
Bitcoin also saw a 12% increase in April, its best monthly performance since April 2025. Furthermore, MicroStrategy is considering switching to semi-monthly dividend payments for STRC to reduce volatility even further, moving away from its current monthly distribution structure.