Strategy could be acceptable to S&P 500 Inclusion in June if Bitcoin Close Q1 over $ 96,000
Representation of the Business of Liability: The analyst who wrote this part possesses the strategy shares (Mstr)
Strategy (Mstr) could be on the way to potential S & P 500 inclusion to June 20th.
Currently, the company meets all the requirements for fulfillment of the conditions, except one: to achieve a positive GAAP net revenue during the arrears of 12 months (the last four quarters combined). In order to qualify, earnings from the Q1 2025 must be high enough to make up for losses from the previous three quarters – a goal that could be achieved thanks to the adoption (now mandatory) Committee on Financial Accounting Standards (FASB) Digital Property Accounting Policy.
Changing the FASB rules requires companies to recognize bitcoin (BTC) stakes by fair value, which means that the prices gains will pass to the bottom (as the drop in the drop in) will fall). Before this rule, corporate owners of digital assets had to take into account the stakes at their weakest levels. The strategy, for example, in the fourth quarter of 2024, still appreciated its Bitcoin at less than $ 16,000 per toke, which led to losing diminishing in the amount of one billion dollars, even when Bitcoin closed about $ 94,000 for a year.
According to the analysis Richard Hass On X, assuming that the strategies stakes do not change between now and March 31, Bitcoin must close the first quarter above $ 96,337 for a company to meet a positive 12 -month duration. “Based on earnings from the Q4 2024 of -671 million, Mrstr’s net revenue revenue requires $ 1,113B USD in Q1 2025 earnings to earn a positive earnings in the previous four quarters and becomes acceptable for the S&P 500,” he wrote. “Based on mstr. Current Treasury of 478.740 BTC, required BTC Price 31. March to achieve this is $ 96,337 ”.
If Bitcoin prices remain strong and Mstr continues to accumulate tokens, the S&P 500 is on your fingertips. Said the reference marking analyst Mark Palmer:
“The adoption of Mstr -a -modified FASB guidelines strengthens his case for the inclusion of the S&P 500. Given that he outperformed any current ingredient of the index over four years, the exclusion would be surprising. “
“While joining the Nasdaq-100 was significant, the S&P 500 is the Holy Grail,” Palmer continued. “Inclusion would confirm his Bitcoin strategy, because all S&P 500 Index Funds would hold Mrstr’s shares, indirectly exposing investors bitcoin.” The renunciation statement of responsibility: Original X post Richard Hass was made before the strategy the latest bitcoin buy. Coindesk reached for updated analysis, including an acquisition on Monday.
