Canaan Inc. Sponsored ADR (NASDAQ:CAN) Receives Average Rating of "Moderate Buy" from Brokerages

Key Points

• Canaan Inc. has received a consensus rating of "Moderate Buy" from eight analysts, with an average 1-year price target of $2.50.
• The company reported a quarterly earnings per share (EPS) of ($0.03), exceeding analysts' expectations of ($0.13), along with revenue of $13.95 million.
• Canaan's board has initiated a stock buyback program, indicating a belief that the company's stock may be undervalued.

Shares of Canaan Inc. Sponsored ADR (NASDAQ:CAN - Get Free Report) have been given a consensus recommendation of "Moderate Buy" by the eight analysts that are covering the stock, MarketBeat reports. Three analysts have rated the stock with a hold rating and five have assigned a buy rating to the company. The average 1-year price target among brokers that have issued a report on the stock in the last year is $2.50.

Several research analysts have recently commented on CAN shares. Northland Securities started coverage on shares of Canaan in a report on Wednesday, June 18th. They issued a "market perform" rating and a $1.50 price target for the company. Rosenblatt Securities reaffirmed a "buy" rating and issued a $4.00 target price on shares of Canaan in a research report on Friday, August 29th. Northland Capmk raised Canaan to a "hold" rating in a research report on Wednesday, June 18th. B. Riley dropped their target price on Canaan from $3.00 to $2.00 and set a "buy" rating on the stock in a research report on Thursday, July 10th. Finally, Wall Street Zen raised Canaan from a "sell" rating to a "hold" rating in a research note on Saturday, August 16th.

Canaan Trading Up 3.3%

NASDAQ CAN opened at $0.71 on Monday. Canaan has a 12 month low of $0.53 and a 12 month high of $3.27. The company has a debt-to-equity ratio of 0.07, a current ratio of 1.78 and a quick ratio of 1.32. The company has a market capitalization of $263.23 million, a price-to-earnings ratio of -0.78 and a beta of 3.45. The company's fifty day moving average price is $0.74 and its two-hundred day moving average price is $0.80.

Canaan (NASDAQ:CAN - Get Free Report) last released its quarterly earnings data on Thursday, August 14th. The company reported ($0.03) EPS for the quarter, topping analysts' consensus estimates of ($0.13) by $0.10. The firm had revenue of $13.95 million during the quarter, compared to the consensus estimate of $13.29 million. Canaan had a negative net margin of 77.01% and a negative return on equity of 92.49%. Canaan has set its Q3 2025 guidance at EPS. As a group, research analysts predict that Canaan will post -0.74 earnings per share for the current fiscal year.

Canaan declared that its board has initiated a stock buyback program on Tuesday, May 27th that allows the company to repurchase $0.00 in shares. This repurchase authorization allows the company to buy shares of its stock through open market purchases. Shares repurchase programs are typically an indication that the company's board believes its stock is undervalued.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the business. Raymond James Financial Inc. acquired a new stake in shares of Canaan in the 4th quarter worth approximately $33,000. Wellington Management Group LLP acquired a new stake in shares of Canaan in the 4th quarter worth approximately $48,000. GMT Capital Corp acquired a new position in shares of Canaan during the 1st quarter valued at $86,000. BNP Paribas Financial Markets bought a new stake in shares of Canaan in the 4th quarter worth $92,000. Finally, SBI Securities Co. Ltd. lifted its holdings in shares of Canaan by 32.1% in the second quarter. SBI Securities Co. Ltd. now owns 202,605 shares of the company's stock valued at $125,000 after buying an additional 49,206 shares during the period. Institutional investors own 70.14% of the company's stock.

Canaan Company Profile

Canaan Inc engages in the research, design, and sale of integrated circuit (IC) final mining equipment products by integrating IC products for bitcoin mining and related components in the People's Republic of China. It is also involved in the assembly and distribution of mining equipment and spare parts.

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