Bitcoin giant Strategy (NASDAQ: MSTR) reported a record $10 billion profit for Q2 2025, but its shares dipped 1.4% in after-hours trading. Despite the blockbuster earnings, Strategy CEO Phong Le called it “the most misunderstood and undervalued stock” in the U.S. market.
Strategy’s operating income surged 7,100% year-on-year to $14 billion, driven largely by Bitcoin gains under fair value accounting. The Michael Saylor–co-founded firm, long known for its aggressive Bitcoin strategy, said it now holds 628,791 BTC worth $73.3 billion.
The company’s full-year estimated operating income is now projected at $34 billion, ranking it ninth among S&P 500 companies. However, Strategy’s market cap stands at only 96th in the index. Le noted it has one of the lowest profit-to-earnings ratios in the S&P 500.
“We’re capitalized on the most innovative asset in history, but we remain deeply undervalued,” Le said during the earnings call.
Strategy plans to raise $4.2 billion through its Variable Rate Series A Perpetual Stretch Preferred Stock (STRC) to buy more Bitcoin. In July, it already raised $2.5 billion via STRC to purchase 21,021 BTC, the largest equity raise in the U.S. this year.
At current BTC prices, the upcoming raise could secure an additional 36,128 BTC. Strategy also raised its full-year Bitcoin metrics targets—now aiming for 30% BTC yield and $20 billion in BTC dollar gains.
Phong Le has doubled down on founder Michael Saylor’s pro-Bitcoin vision. The firm’s software business generated $114 million in Q2, but its core focus remains stacking Bitcoin.
The company is doubling down on its “42/42” plan, a long-term strategy to own $42 billion in Bitcoin and achieve a $42 billion market cap, effectively aligning the value of its Bitcoin holdings with its stock valuation. The goal is to become the world’s first truly Bitcoin-native public company.
Also Read: Strategy Buys 21,021 Bitcoin for $2.47 Billion After U.S. IPO
