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

Key Points

• Shares of Bitfarms Ltd. gapped down from $4.49 to $4.10 before the market opened on Wednesday, with a recent trading price at $4.11 and a high trading volume of over 40 million shares.
• Analysts have a mixed outlook on Bitfarms, with price targets ranging from $2.00 to $7.00, and an average rating of "Moderate Buy" alongside a consensus price target of $4.35.
• In its most recent earnings report, Bitfarms missed expectations with an EPS of ($0.02) and revenues of $77.80 million, falling short of analyst predictions of $79.78 million.

Shares of Bitfarms Ltd. (NASDAQ:BITF - Get Free Report) gapped down before the market opened on Wednesday . The stock had previously closed at $4.49, but opened at $4.10. Bitfarms shares last traded at $4.11, with a volume of 40,149,787 shares traded.

Wall Street Analyst Weigh In

BITF has been the topic of a number of recent analyst reports. Northland Securities set a $7.00 price target on shares of Bitfarms in a research report on Monday, October 13th. Macquarie restated an "outperform" rating on shares of Bitfarms in a research report on Monday, October 13th. Compass Point began coverage on shares of Bitfarms in a report on Monday, September 15th. They issued a "buy" rating on the stock. Jones Trading began coverage on shares of Bitfarms in a report on Monday, July 21st. They issued a "buy" rating and a $2.00 target price on the stock. Finally, Weiss Ratings reiterated a "sell (d-)" rating on shares of Bitfarms in a report on Wednesday, October 8th. Seven analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus price target of $4.35.

Bitfarms Price Performance

The stock's 50-day moving average is $2.63 and its 200 day moving average is $1.57. The stock has a market capitalization of $2.13 billion, a PE ratio of -22.29 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.

Bitfarms (NASDAQ:BITF - Get Free Report) last announced 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). Bitfarms had a negative net margin of 35.09% and a negative return on equity of 9.86%. The company had revenue of $77.80 million for the quarter, compared to analysts' expectations of $79.78 million. As a group, equities analysts predict that Bitfarms Ltd. will post -0.21 earnings per share for the current year.

Institutional Trading of Bitfarms

Several large investors have recently modified their holdings of the company. Arkadios Wealth Advisors bought a new stake in Bitfarms in the 1st quarter valued at $39,000. Archford Capital Strategies LLC acquired a new position in shares of Bitfarms in the 3rd quarter valued at $141,000. WINTON GROUP Ltd acquired a new position in shares of Bitfarms in the 2nd quarter valued at $43,000. Baker Avenue Asset Management LP acquired a new position in shares of Bitfarms in the 2nd quarter valued at $50,000. Finally, Theory Financial LLC acquired a new position in shares of Bitfarms in the 1st quarter valued at $48,000. 20.59% of the stock is owned by institutional investors.

About Bitfarms

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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