Kerrisdale Capital argued that MicroStrategy shares were overvalued in the latest report. “We are long Bitcoin and short MicroStrategy shares because the company's shares are trading at an unfair premium to the digital asset that determines its value.” MicroStrategy shares fell significantly 14% on Thursday following the announcement. Kerrisdale thinks the inflated premium on MicroStrategy's shares will likely diminish, presenting a pair of trading opportunities. The company's valuation analysis is based not on a bearish view of Bitcoin or MicroStrategy, but on the broken relationship between them. MicroStrategy's software analytics division contributes just 3% to the company's total value. MicroStrategy is trading at a 2.6x equity premium to Bitcoin, with that premium exceeding 2x only 6% of the time since 2021, Kerrisdale notes. Saylor emphasized that MicroStrategy offers a unique proposition for investors who are bullish on Bitcoin, offering leverage without charging fees, unlike ETFs. He also announced the company's rebranding as a "Bitcoin development company," citing the success of its BTC strategy and its status as the largest public Bitcoin holder. MicroStrategy currently holds 214,246 BTC, which represents a 54% increase over the previous year.