Disclaimer: The analyst who wrote this piece owns shares of MicroStrategy (MSTR). MicroStrategy's (MSTR) initial attempt to expand its capital raising activities via perpetual preferred stock appeared to have been met with strong demand.

MicroStrategy offers 8% dividends with preferred shares. Learn why MSTR stock’s unique structure provides a low-risk way to gain Bitcoin exposure and growth.

Led by Executive Chairman Michael Saylor, the company this week opened a new front along those lines with its perpetual preferred stock offering (STRK). Preferred stock sits between equity and debt on the corporate balance sheet,

MicroStrategy, a business intelligence and Bitcoin-focused company, plans to offer 2.5 million shares of preferred stock to fund general purposes and Bitcoin acquisitions.

MicroStrategy (MSTR) plans to offer 2.5M shares of Series A Perpetual Strike Preferred Stock for general corporate purposes, including Bitcoin acquisition.

MicroStrategy stock could surge more than 50% with the company’s Bitcoin strategy, according to Mizuho Securities analysts. Mizuho analysts led by Dan Dolev initiated coverage of MicroStrategy stock with an Outperform rating and $515 price target.