Bitfarms (NASDAQ:BITF) Shares Gap Down - Here's Why

Key Points

• Bitfarms shares gapped down from $6.47 to $5.98, culminating in a current trading price of $5.73, representing a 15.2% decrease.
• While several analysts issued a "buy" rating for Bitfarms, Weiss Ratings reaffirmed a "sell (d-)" rating, reflecting mixed sentiments in the market.
• The company reported a quarterly earnings miss with EPS of ($0.02), falling short of analysts' expectations, and a revenue of $77.80 million compared to a $79.78 million consensus estimate.

Bitfarms Ltd. (NASDAQ:BITF - Get Free Report) gapped down prior to trading on Thursday . The stock had previously closed at $6.47, but opened at $5.98. Bitfarms shares last traded at $5.73, with a volume of 75,835,391 shares traded.

Wall Street Analysts Forecast Growth

Several analysts have issued reports on the stock. Jones Trading assumed coverage on shares of Bitfarms in a research note on Monday, July 21st. They issued a "buy" rating and a $2.00 price objective for the company. Compass Point started coverage on shares of Bitfarms in a research note on Monday, September 15th. They issued a "buy" rating for the company. Northland Securities set a $7.00 price target on shares of Bitfarms in a research note on Monday. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Bitfarms in a research note on Wednesday, October 8th. Finally, Macquarie reaffirmed an "outperform" rating on shares of Bitfarms in a research note on Monday. Six analysts have rated the stock with a Buy rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $4.35.

Bitfarms Stock Down 15.2%

The company has a market cap of $3.08 billion, a P/E ratio of -32.24 and a beta of 3.73. The company has a quick ratio of 3.03, a current ratio of 3.11 and a debt-to-equity ratio of 0.11. The business's 50 day moving average is $2.34 and its 200 day moving average is $1.45.

Bitfarms (NASDAQ:BITF - Get Free Report) last issued its quarterly earnings data on Tuesday, August 12th. The company reported ($0.02) EPS for the quarter, missing analysts' consensus estimates of ($0.01) by ($0.01). The business had revenue of $77.80 million during the quarter, compared to the consensus estimate of $79.78 million. Bitfarms had a negative return on equity of 9.86% and a negative net margin of 35.09%. As a group, equities analysts anticipate that Bitfarms Ltd. will post -0.21 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Bitfarms

Several institutional investors and hedge funds have recently bought and sold shares of BITF. Vident Advisory LLC grew its holdings in Bitfarms by 70.0% in the second quarter. Vident Advisory LLC now owns 11,364,106 shares of the company's stock worth $9,538,000 after purchasing an additional 4,677,425 shares during the last quarter. Invesco Ltd. grew its holdings in Bitfarms by 40.4% in the second quarter. Invesco Ltd. now owns 13,234,973 shares of the company's stock worth $11,120,000 after purchasing an additional 3,806,810 shares during the last quarter. Continental General Insurance Co. purchased a new position in Bitfarms in the first quarter worth $2,124,000. Charles Schwab Investment Management Inc. grew its holdings in Bitfarms by 52.2% in the first quarter. Charles Schwab Investment Management Inc. now owns 3,808,165 shares of the company's stock worth $3,002,000 after purchasing an additional 1,306,212 shares during the last quarter. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its holdings in Bitfarms by 28.6% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 5,493,643 shares of the company's stock worth $4,316,000 after purchasing an additional 1,223,201 shares during the last quarter. 20.59% of the stock is owned by hedge funds and other institutional investors.

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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