Bitfarms (NASDAQ:BITF) Issues Earnings Results, Misses Estimates By $0.01 EPS

Key Points

• Bitfarms reported a quarterly EPS of ($0.02), missing estimates of ($0.01) by a margin of ($0.01), along with a revenue of $77.80 million, below the expected $79.78 million.
• The company has a negative net margin of 40.09% and a negative return on equity of 12.70%, indicating challenges in profitability.
• Despite recent earnings misses, Bitfarms maintains a consensus buy rating from analysts, with a projected price target of $3.95.

Bitfarms (NASDAQ:BITF - Get Free Report) released its quarterly earnings data on Tuesday. The company reported ($0.02) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.01) by ($0.01), Zacks reports. Bitfarms had a negative net margin of 40.09% and a negative return on equity of 12.70%. The company had revenue of $77.80 million for the quarter, compared to analyst estimates of $79.78 million.

Bitfarms Price Performance

Bitfarms stock remained flat at $1.27 during mid-day trading on Wednesday. The company's stock had a trading volume of 27,174,649 shares, compared to its average volume of 25,857,354. The company has a 50 day moving average price of $1.03 and a 200 day moving average price of $1.06. The company has a debt-to-equity ratio of 0.03, a quick ratio of 2.58 and a current ratio of 2.64. The firm has a market cap of $708.09 million, a P/E ratio of -6.68 and a beta of 3.50. Bitfarms has a 52-week low of $0.67 and a 52-week high of $2.76.

Analyst Ratings Changes

BITF has been the subject of a number of analyst reports. Jones Trading initiated coverage on Bitfarms in a research report on Monday, July 21st. They set a "buy" rating and a $2.00 price objective for the company. Alliance Global Partners restated a "buy" rating on shares of Bitfarms in a research report on Wednesday, May 14th. Finally, HC Wainwright restated a "buy" rating on shares of Bitfarms in a research report on Wednesday, May 14th. Five research analysts have rated the stock with a buy rating, Based on data from MarketBeat.com, Bitfarms has a consensus rating of "Buy" and a consensus price target of $3.95.

Institutional Trading of Bitfarms

Several hedge funds have recently added to or reduced their stakes in BITF. Geode Capital Management LLC raised its stake in Bitfarms by 3.8% during the 2nd quarter. Geode Capital Management LLC now owns 3,449,002 shares of the company's stock valued at $2,860,000 after acquiring an additional 125,156 shares in the last quarter. Creative Planning raised its stake in Bitfarms by 54.0% during the 2nd quarter. Creative Planning now owns 85,580 shares of the company's stock valued at $72,000 after acquiring an additional 30,000 shares in the last quarter. Cetera Investment Advisers raised its stake in Bitfarms by 1.4% during the 2nd quarter. Cetera Investment Advisers now owns 789,700 shares of the company's stock valued at $664,000 after acquiring an additional 10,622 shares in the last quarter. Legal & General Group Plc raised its stake in Bitfarms by 4.1% during the 2nd quarter. Legal & General Group Plc now owns 370,869 shares of the company's stock valued at $309,000 after acquiring an additional 14,513 shares in the last quarter. Finally, Invesco Ltd. raised its stake in Bitfarms by 40.4% during the 2nd quarter. Invesco Ltd. now owns 13,234,973 shares of the company's stock valued at $11,120,000 after acquiring an additional 3,806,810 shares in the last quarter. Institutional investors own 20.59% of the company's stock.

Bitfarms Company Profile

Bitfarms Ltd. engages in the mining of cryptocurrency coins and tokens in Canada, the United States, Paraguay, and Argentina. It owns and operates server farms that primarily validates transactions on the Bitcoin Blockchain and earning cryptocurrency from block rewards and transaction fees. The company also provides electrician services to commercial and residential customers in Quebec, Canada.

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