Walton emphasized that this milestone clears the final hurdle for inclusion in the S&P 500, as it fulfills the profitability criterion based on a four-quarter cumulative positive income. However, the final decision rests with the S&P Index Committee, where debate is expected.
The S&P 500 comprises 500 top-performing US public companies by market capitalization, collectively representing around 80% of the total market cap of US equities. Entry into this index requires meeting several standards, including US domicile, sufficient liquidity, and positive earnings over the last four quarters.
The company’s stock trades well above the net asset value of its Bitcoin holdings, mainly due to investor demand for indirect crypto exposure.
The strategy has also contributed to elevated share prices that have outperformed all those in the S&P 500 index since the firm adopted the Bitcoin standard in 2020.
So far, Strategy has acquired 597,325 BTC, valued at over $63.9 billion, with an unrealized gain exceeding $21 billion.
Interestingly, news of a potential inclusion in the S&P Index did not help boost market sentiment, with Strategy shares down 6% in early trading on July 1 to $379.20 as of press time.
