Strategy (formerly MicroStrategy) kept its Variable Rate Series A Perpetual Stretch Preferred Stock (STRC) dividend at 12.00% on 30th September 2026 and declared two $0.50 payouts. The second won’t be paid if a daily-dividend switch clears a shareholder vote in time.
The Brief
- Strategy kept STRC’s annual dividend rate at 12.00% for semi-monthly periods starting on or after 16th October.
- The board declared $0.50 per share, payable 31st October to holders of record at 5:00 p.m. New York time on 15th October.
- A second $0.50 payment due 15th November depends on a 28th October shareholder vote over daily dividend record dates.
- Daily dividends would replace that November payment at the same 12.00% rate if approved and effective by 1st November.
- Strategy expects both payouts to count as non-taxable returns of capital, up to each holder’s tax basis in STRC.
November’s payout hinges on two deadlines
Strategy disclosed the declarations in an SEC filing. Each $0.50 payment covers one semi-monthly period and reflects the 12.00% annual rate, according to the filing.
The company has a special meeting set for 10:00 a.m. Eastern on 28th October, 2026. Shareholders will vote on amended certificates of designations for STRC and some of Strategy’s other preferred series. The amendments would create a regular dividend record date on every calendar day, with any declared dividend paid the next business day.
— Strategy (@Strategy) October 1, 2026
If both happen, Strategy intends to declare daily dividends for every calendar day of November, subject to board approval. Record dates would start 1st November, 2026, and each payment would land on the following business day. The October payout isn’t affected either way.
| Payout | Record date | Pay date | Status |
|---|---|---|---|
| $0.50 per share | 10/15/2026, 5:00 p.m. New York time | 10/31/2026 | Declared, not subject to the vote |
| $0.50 per share, | 10/31/2026, 5:00 p.m. New York time | 11/15/2026 | Declared, dropped if daily dividends take effect |
| Daily dividends at 12.00% annual rate | Each calendar day from 11/01/2026 | Next business day | Planned, needs board declaration |
The rate test is still trading near $100
Management repeated its earlier guidance in the filing. It will recommend holding STRC’s rate at 12.00% “until STRC has demonstrated sustained, healthy trading near $100 per share.” Holding the rate flat again, after Strategy’s September STRC rate decision, fits that guidance.
The filing doesn’t say where STRC traded during the period. It also doesn’t define “sustained” or name a price band, so the trigger for any future rate change remains a board judgment.
Daily record dates change who collects
Under the current schedule, a holder must own STRC at one of two fixed record times each month to collect a payout. A daily record date ties entitlement to each calendar day the shares are held. That could reduce the incentive to time purchases around the 15th and the month-end.
Two gaps remain in the disclosure. The filing doesn’t state the cash amount per share for each daily dividend. It also doesn’t explain how the other preferred series covered by the amendments would move to the new schedule.
The Bottom Line
Holders tracking the October payout need to be on record by 5:00 p.m. New York time on 15th October, 2026. On taxes, Strategy says special considerations may apply to some holders. It points them to their own advisors for federal, state, local and non-U.S. treatment.
The sequencing is unusual. Strategy plans to declare November’s daily dividends around 15th October, 2026, nearly two weeks before shareholders vote on whether daily dividends can exist at all. Those declarations count only if approval arrives by 5:00 p.m. on 31st October, 2026. The amended certificate then has to be live at 12:01 a.m. the next day.
