Shares of Strategy (MSTR) experienced a sharp decline on Thursday, shedding nearly 6.6% as Bitcoin prices fell below the $100,000 mark. This drop further propelled MSTR’s year-to-date and year-over-year losses to 30% and 36%, respectively, despite remaining at a significant premium to its Bitcoin holdings. The stock has fallen back to levels last seen in the weeks leading up to the November 2024 election. Despite the substantial decline, MSTR maintains a market cap of ~$60 billion, exceeding its current estimated value of $63.2 billion worth of Bitcoin. However, this doesn’t reflect the full picture as preferred share issuance and corporate debt significantly inflate Strategy’s total enterprise value, reaching $75.4 billion. This discrepancy reveals that MSTR trades at a premium to its Bitcoin holdings, with its market-to-Bitcoin NAV (mNAV) exceeding 19%, demonstrating a significant valuation gap.