Cipher Mining (NASDAQ:CIFR) Shares Gap Down After Insider Selling

Key Points

• Cipher Mining Inc. shares dropped from a closing price of $5.46 to an opening price of $5.03 following significant insider selling activities, resulting in a trading volume of nearly 4.9 million shares.
• Major shareholder Holding Ltd V3 sold a total of 936,033 shares within a few days at prices ranging from $5.61 to $6.19, leading to a small decline in their overall ownership in the company.
• Despite recent insider selling, analysts remain optimistic, with several firms issuing buy ratings and raising their price targets, leading to an average consensus price target of $7.63 for the stock.

Shares of Cipher Mining Inc. (NASDAQ:CIFR - Get Free Report) gapped down prior to trading on Friday after an insider sold shares in the company. The stock had previously closed at $5.46, but opened at $5.03. Cipher Mining shares last traded at $5.14, with a volume of 4,896,832 shares traded.

Specifically, major shareholder Holding Ltd V3 sold 369,984 shares of Cipher Mining stock in a transaction that occurred on Wednesday, July 30th. The stock was sold at an average price of $5.61, for a total value of $2,075,610.24. Following the sale, the insider directly owned 90,942,259 shares of the company's stock, valued at $510,186,072.99. The trade was a 0.41% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, major shareholder Holding Ltd V3 sold 66,049 shares of the business's stock in a transaction dated Tuesday, July 29th. The shares were sold at an average price of $6.06, for a total value of $400,256.94. Following the completion of the sale, the insider directly owned 91,312,243 shares of the company's stock, valued at $553,352,192.58. The trade was a 0.07% decrease in their ownership of the stock. The disclosure for this sale can be found here. In related news, major shareholder Holding Ltd V3 sold 500,000 shares of the stock in a transaction on Monday, July 28th. The stock was sold at an average price of $6.19, for a total value of $3,095,000.00. Following the transaction, the insider directly owned 91,378,292 shares of the company's stock, valued at approximately $565,631,627.48. This trade represents a 0.54% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website.

Analyst Upgrades and Downgrades

CIFR has been the topic of several research analyst reports. HC Wainwright reiterated a "buy" rating on shares of Cipher Mining in a research report on Tuesday, May 6th. Canaccord Genuity Group reaffirmed a "buy" rating and set a $8.00 price target on shares of Cipher Mining in a research report on Thursday, May 8th. Rosenblatt Securities restated a "buy" rating and issued a $5.50 price target on shares of Cipher Mining in a research note on Wednesday, May 7th. Jones Trading began coverage on Cipher Mining in a report on Monday, July 21st. They set a "hold" rating for the company. Finally, Cantor Fitzgerald upped their price target on Cipher Mining from $4.00 to $6.00 and gave the company an "overweight" rating in a research report on Thursday, June 5th. Two analysts have rated the stock with a hold rating, ten have given a buy rating and two have given a strong buy rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Buy" and a consensus price target of $7.63.

Cipher Mining Stock Down 3.2%

The company has a fifty day simple moving average of $4.85 and a two-hundred day simple moving average of $4.14. The firm has a market capitalization of $1.68 billion, a PE ratio of -13.96 and a beta of 2.73. The company has a debt-to-equity ratio of 0.01, a quick ratio of 1.11 and a current ratio of 1.11.

Cipher Mining (NASDAQ:CIFR - Get Free Report) last posted its earnings results on Tuesday, May 6th. The company reported ($0.11) EPS for the quarter, hitting analysts' consensus estimates of ($0.11). Cipher Mining had a negative return on equity of 17.77% and a negative net margin of 81.21%. The business had revenue of $48.96 million for the quarter, compared to analysts' expectations of $53.57 million. Analysts forecast that Cipher Mining Inc. will post -0.31 EPS for the current fiscal year.

Institutional Investors Weigh In On Cipher Mining

A number of institutional investors have recently modified their holdings of CIFR. V3 Holding Ltd bought a new stake in shares of Cipher Mining during the fourth quarter worth approximately $452,713,000. Millennium Management LLC acquired a new stake in Cipher Mining during the 1st quarter worth approximately $9,316,000. Alyeska Investment Group L.P. bought a new stake in Cipher Mining during the 1st quarter valued at $7,094,000. Lone Pine Capital LLC bought a new stake in shares of Cipher Mining in the 4th quarter worth $10,878,000. Finally, Helix Partners Management LP lifted its holdings in Cipher Mining by 95.8% during the first quarter. Helix Partners Management LP now owns 4,400,000 shares of the company's stock valued at $10,120,000 after purchasing an additional 2,153,058 shares during the last quarter. Institutional investors and hedge funds own 12.26% of the company's stock.

Cipher Mining Company Profile

Cipher Mining Inc, together with its subsidiaries, engages in the development and operation of industrial scale bitcoin mining data centers in the United States. The company was incorporated in 2020 and is based in New York, New York. Cipher Mining Inc operates as a subsidiary of Bitfury Holding B.V.