Michael Saylor‘s MicroStrategy Inc. (NASDAQ:MSTR) fell in the last five sessions amid heightened volatility due to concerns over hurdles in its S&P 500 inclusion and falling Bitcoin (CRYPTO: BTC) prices.
What Happened: While MicroStrategy meets the S&P 500’s market capitalization and trading volume benchmark requirements, it doesn’t fulfill the earnings criteria, said Benchmark, according to a report by Investing.com.
In order to be listed on the S&P 500, a company is required to have positive earnings in the latest quarter. Additionally, the listing criterion states that it should have had positive earnings in the preceding four quarters, as well.
The company also faces an issue wherein its Bitcoin holdings cannot be accounted for in its financial statements. Benchmark analyst Mark Palmer says that MicroStrategy is poised to adopt new Financial Accounting Standards Board guidelines …
Full story available on Benzinga.com