MicroStrategy Stock Rallies as Saylor Steps Down

MicroStrategy Stock Rallies as Saylor Steps Down


Share this article

Coinbase’s stock has also surged double digits today. 

MicroStrategy Soars on Q2 Report

MicroStrategy and Coinbase investors finally have something to celebrate. 

MicroStrategy’s MSTR shares soared within minutes of U.S. markets opening Wednesday, rising from around $282.37 to $320.81. MSTR has since cooled off to around $310.01. The jump comes less than a day after MicroStrategy revealed in its second-quarter earnings report that Michael Saylor would be stepping down as the firm’s chief executive officer on August 8. Per the report, Saylor will instead focus on the firm’s “Bitcoin acquisition strategy and related Bitcoin advocacy initiatives” as executive chairman, while Phong Le will take on Saylor’s current role. 

MicroStrategy revealed in the report that it took in $122.1 million in revenue, while its net losses topped $1 billion. The bulk of that was from $917.8 million worth of impairment charges it suffered due to Bitcoin’s sharp decline in value over the course of the year. 

okex

Coinbase’s COIN also gained double digits Wednesday, trading at about $74.57 at press time. The jump comes despite the biggest U.S. cryptocurrency exchange contending with various crises of late, including a battle with the SEC, allegations of insider trading, mass layoffs, and the resounding failure of its NFT marketplace. Coinbase is yet to release its earnings report for the second quarter, but it revealed it had recorded a net loss of $430 million in the first quarter as crypto winter intensified. 

As MicroStrategy and Coinbase largely depend on the success of Bitcoin and the cryptocurrency space, their stocks tend to perform in tandem with the broader crypto market. According to CoinGecko data, the global cryptocurrency market capitalization gained 2.7% Wednesday, which may be a contributor to both MSTR and COIN rising in value. 

Still, with crypto sentiment waning after a months-long bleed, both MicroStrategy and Coinbase have some way to go to reclaim their highs. MSTR topped $859 as Bitcoin soared to $69,000 in November 2021, meaning it’s currently about 64% short of its high. COIN has fared even worse, around 78% down from when it hit $342 on its Nasdaq debut in April 2021. 

Disclosure: At the time of writing, the author of this piece owned ETH and several other cryptocurrencies. 

Share this article

The information on or accessed through this website is obtained from independent sources we believe to be accurate and reliable, but Decentral Media, Inc. makes no representation or warranty as to the timeliness, completeness, or accuracy of any information on or accessed through this website. Decentral Media, Inc. is not an investment advisor. We do not give personalized investment advice or other financial advice. The information on this website is subject to change without notice. Some or all of the information on this website may become outdated, or it may be or become incomplete or inaccurate. We may, but are not obligated to, update any outdated, incomplete, or inaccurate information.

You should never make an investment decision on an ICO, IEO, or other investment based on the information on this website, and you should never interpret or otherwise rely on any of the information on this website as investment advice. We strongly recommend that you consult a licensed investment advisor or other qualified financial professional if you are seeking investment advice on an ICO, IEO, or other investment. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.

See full terms and conditions.



Source link

Leave a Reply

Your email address will not be published. Required fields are marked *

Pin It on Pinterest