Michael Saylor Is Not Focusing on MSTR Buybacks as Strategy Builds Its Cash Reserves

Strategy executive chairman Michael Saylor said on Monday that the company is open to repurchasing its own shares, but only under the right conditions.

Speaking on the company's second-quarter earnings call, the chairman said the company would look at buying back MSTR stock if it fell to a steep discount against the value of the assets backing it. 

For now, though, he said the main priority is to make sure the company's preferred stock, STRC, trades at its pegged value.

Saylor says “fixing the credit” comes first

The chairman told investors that boosting Strategy's credit and preferred-stock products could do more for the company's common shares over time than an immediate buyback. 

"We're open to buying back MSTR if it trades at a discount to NAV or if it's the right thing for the company to do," he said. "The best thing we could do right now is fix the credits." 

He shared that without a working credit business, the equity would carry little value on its own. Saylor added that if this is solved, the debate would be more about “whether or not it's worth $50 billion or $100 billion or $250 billion or a trillion." 

He also said the company has no interest in seeing STRC trade above $100, describing predictable pricing as part of the product's design. The comments came after Strategy sold MSTR shares worth $334 million last week. 

MSTR stock rose 5% in trading on Monday, part of a broader rally in crypto-linked shares as BTC price climbed above $64,000.

Strategy zeroes in on building larger cash reserves

Saylor also highlighted in the meeting that Strategy aims to keep larger cash balances in the near future, along with its BTC holdings. 

He said the company's dollar reserves, Bitcoin reserve, and operating cash are all expected to grow over time, which would give management flexibility to act when opportunities come.

Those funds, he said, could then go into buying back preferred shares, repurchasing common stock, paying down debt, or buying more BTC, depending on market conditions.

Strategy has been selling some of its Bitcoin. Since May, the company has sold 6,948 BTC for about $431.8 million. Its most recent sale was 1,690 BTC for around $108 million. Saylor did not say if more sales would happen. Company CEO Phong Le, however, shared last week that they intend to restart BTC buys later this year. 

Le also defended issuing new shares, which some investors say may dilute existing holders. He said selling shares while the stock trades above the value of its underlying assets can raise the amount of BTC backing each share.

A rough year for MSTR shareholders

MSTR has struggled in 2026. It has fallen more than a third since the start of the year as Bitcoin’s price declined. The drop was also thanks to steady share issuance, which the company has used to fund BTC purchases, build cash reserves, pay dividends, and buy back some preferred stock.

Saylor said the crypto’s price relative to its long-term average is important in how the company manages its cash. 

When the coin trades well above that average, Strategy holds on to more of the money it raises. When the price is closer to or below that level, he said, it can look more like a buying opportunity. The chairman closed the call by asking shareholders for patience:

“I feel your pain. But I think we have to be prepared to have difficult years.”