You don't need to worry too much about a blowout on the MSTR side. Their operations are very clear - they issue new shares to cash out, specifically to pay off those debts and interest that are about to expire.
In simple terms: the stock price is indeed spiraling downwards, but the company's cash flow is still holding up. It's the stock price that is dying, not the company.
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BugBountyHunter
· 1h ago
With this logic, it's pretty much like a Ponzi scheme. If they keep issuing more and diluting it, what happens in the end?
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FallingLeaf
· 1h ago
To be honest, this tactic is pretty much like gambling. The stock price spirals downward, and the financing costs will only get higher.
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SybilAttackVictim
· 12-03 05:30
Stock price spiraling down, raising funds just to stay afloat... I've seen this routine many times, it's just buying themselves more time.
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ApeWithAPlan
· 12-01 19:10
Haha, isn't this just chronic death? The stock price spirals down and it's over.
Issuing new shares to cash out and pay off debts sounds smart, but who would dare to buy if this continues long-term?
What’s the use if the capital chain can hold? Shareholders are Rekt.
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GateUser-a5fa8bd0
· 12-01 19:06
Hmm... the strategy of issuing more shares to cash out is indeed ruthless, it's just that the shareholders have to Cut Loss.
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ClassicDumpster
· 12-01 19:01
The stock price is indeed falling in a spiral, but the capital chain can still hold up. They are quite skilled at using the trick of issuing new shares to cash out and repay debts.
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FOMOSapien
· 12-01 19:00
Is no one really managing the stock price's spiral decline? This logic sounds like self-deception.
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DegenTherapist
· 12-01 18:54
It’s just a matter of ruthlessly milking the shareholders, and the creditors are laughing happily.
You don't need to worry too much about a blowout on the MSTR side. Their operations are very clear - they issue new shares to cash out, specifically to pay off those debts and interest that are about to expire.
In simple terms: the stock price is indeed spiraling downwards, but the company's cash flow is still holding up. It's the stock price that is dying, not the company.