The author of this article holds shares in MicroStrategy (MSTR). As the largest publicly traded holder of bitcoin, with a value of $80,235.26, Strategy (MSTR) has decided to maintain the dividend rate for its perpetual preferred stock, Stretch (STRC), at 11.5% for May. This marks the third consecutive month that the dividend rate has remained unchanged.
The volume-weighted average price (VWAP) of $99.76 in April was close enough to the par value of $100 to justify keeping the dividend rate steady. Since its listing in July 2025 with a 9% dividend, STRC has experienced several increases as the company aims to minimize volatility and maintain the stock price near its par value. Strategy positions STRC as a short-duration, high-yield savings alternative that distributes monthly cash payments.
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, closing April at $165, which represents a 33% increase and its first positive month in nine. The stock had previously fallen by 75% over eight consecutive losing months from August 2025 to March 2026, according to data from TradingView.
Bitcoin also experienced a 12% increase in April, its best monthly performance since April 2025. Furthermore, Strategy is considering a shift from monthly to semi-monthly dividend payments for STRC to reduce volatility even further.