Wall Street Veteran: Strategy Comparing Itself to Apple and Nvidia Is "100% Fraud"
According to Jinse Finance, Andy Constan, CEO and Chief Investment Officer of Damped Spring Advisors, stated that Strategy (formerly MicroStrategy) misled investors last month when comparing itself to S&P 500 companies. The Wall Street veteran said that in one slide of its Q2 earnings presentation, the Bitcoin-buying company compared its price-to-earnings ratio with companies like Apple and Nvidia, calling this "100% fraudulent." Constan believes the slide implied that Strategy’s earnings are recurring, when in fact its performance growth is driven by a "one-time, mark-to-market" increase in the value of its Bitcoin holdings. He added, "They are pitching this income to investors, promoting it as recurring earnings worthy of a high P/E ratio. This is deceptive."
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
U.S. inflation pressures are rising across the board; Chicago Federal Reserve President warns that the AI investment boom may lead to economic overheating.
Chicago Federal Reserve President Goolsbee stated on Wednesday that the U.S. September Consumer Price Index report indicates inflationary pressures are spreading broadly, and this trend is concerning.
Crypto prices
More
