Bitcoin Holdings Leader MicroStrategy’s Founder Suggests Apple Should Buy Bitcoin
Michael Saylor, the founder of MicroStrategy, the leader in Bitcoin holdings among publicly traded companies in the United States, stated yesterday (10th) that Apple should purchase Bitcoin, implying that such an action could be more effective than its stock buyback program.
(Background: Global Embrace of Bitcoin) Japan’s ANAP Lightning Capital aims to buy 1,000 BTC by the end of August; UK’s Anemoi has invested 30% of its cash; Canada’s Belgravia Capital has completed its first investment.
(Supplementary Background: Metaplanet launches Asia’s largest Bitcoin equity financing campaign, targeting $5.4 billion to acquire 1% of Bitcoin supply.)
Financial commentator Jim Cramer also expressed on social media platform X yesterday (10th) that Apple’s stock buyback program has not produced the desired results. He candidly stated:
“The company can increase the value of its funds and can also allocate part of it for consolidation. This is not an undignified act; it truly is not.”
In response, Michael Saylor quickly commented, suggesting that Apple should buy Bitcoin and indicating that this move could potentially be more effective than its stock buyback plan.
Comparison of Five-Year Trends: MSTR, Apple Stock, and Bitcoin
Although Apple’s market capitalization far exceeds that of MicroStrategy, Saylor’s suggestion undoubtedly stems from MicroStrategy’s successful investment in Bitcoin. According to the latest data from BitcoinTreasuries, since launching its Bitcoin reserve strategy in 2020, MicroStrategy has accumulated 582,000 Bitcoins, with a total holding value reaching $63.2 billion, resulting in an unrealized gain of nearly $23 billion.
With the rise in Bitcoin prices, MicroStrategy’s stock (MSTR) has skyrocketed 3,164% over the past five years, pushing its market capitalization above $100 billion, making it one of the standout stocks in the U.S. stock market.
In contrast, Apple began its stock buyback program in 2012, which involves the company using cash to repurchase its own stock from the market, thereby reducing the number of shares outstanding and increasing earnings per share, thus benefiting shareholders. In May 2024, Apple announced a record $110 billion buyback plan.
However, despite Apple’s market capitalization reaching $3.04 trillion, its stock price has only risen 140.78% over the past five years, significantly lower than MicroStrategy’s stock return. Moreover, Apple’s stock price has dropped 18% so far this year.
Meanwhile, the price of Bitcoin has more than tripled over the past five years.
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