Cipher Mining (NASDAQ:CIFR) Stock Price Down 10.9% - Should You Sell?

Key Points

• Cipher Mining Inc. shares dropped 10.9% during trading, closing at $16.11 after hitting a low of $15.04.
• The company has received multiple "buy" ratings from analysts, with a consensus price target of $17.68, suggesting potential for recovery.
• Insider trading activity included significant sales by major shareholders, with one selling over 535,000 shares valued at approximately $10.89 million.

Cipher Mining Inc. (NASDAQ:CIFR - Get Free Report) shares fell 10.9% during trading on Wednesday . The company traded as low as $15.04 and last traded at $16.11. 63,032,122 shares changed hands during trading, an increase of 130% from the average session volume of 27,441,688 shares. The stock had previously closed at $18.08.

Wall Street Analyst Weigh In

A number of brokerages have recently commented on CIFR. Compass Point began coverage on shares of Cipher Mining in a research report on Monday, September 15th. They set a "buy" rating for the company. Arete Research began coverage on shares of Cipher Mining in a research report on Wednesday, September 24th. They set a "buy" rating and a $24.00 price objective for the company. Rosenblatt Securities upped their price objective on shares of Cipher Mining from $14.00 to $25.00 and gave the company a "buy" rating in a research report on Thursday, October 16th. JPMorgan Chase & Co. upped their price objective on shares of Cipher Mining from $6.00 to $12.00 and gave the company a "neutral" rating in a research report on Friday, September 26th. Finally, Northland Securities set a $14.50 price target on shares of Cipher Mining in a research report on Monday, September 29th. Twelve analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat.com, Cipher Mining currently has a consensus rating of "Moderate Buy" and a consensus price target of $17.68.

Cipher Mining Price Performance

The company has a quick ratio of 4.18, a current ratio of 4.18 and a debt-to-equity ratio of 0.23. The stock has a market cap of $6.34 billion, a price-to-earnings ratio of -37.47 and a beta of 2.87. The company's 50-day moving average is $11.60 and its 200-day moving average is $6.70.

Cipher Mining (NASDAQ:CIFR - Get Free Report) last posted its quarterly earnings results on Thursday, August 7th. The company reported ($0.12) earnings per share (EPS) for the quarter, hitting the consensus estimate of ($0.12). Cipher Mining had a negative net margin of 96.95% and a negative return on equity of 21.71%. The firm had revenue of $43.57 million during the quarter, compared to analyst estimates of $51.89 million. Equities research analysts expect that Cipher Mining Inc. will post -0.31 earnings per share for the current fiscal year.

Insider Activity at Cipher Mining

In other news, major shareholder Holding Ltd V3 sold 535,843 shares of the firm's stock in a transaction that occurred on Thursday, October 16th. The shares were sold at an average price of $20.32, for a total transaction of $10,888,329.76. Following the completion of the sale, the insider owned 61,316,694 shares of the company's stock, valued at approximately $1,245,955,222.08. This trade represents a 0.87% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, COO Patrick Arthur Kelly sold 26,581 shares of the firm's stock in a transaction that occurred on Wednesday, October 15th. The stock was sold at an average price of $21.08, for a total transaction of $560,327.48. Following the sale, the chief operating officer directly owned 1,213,919 shares of the company's stock, valued at approximately $25,589,412.52. The trade was a 2.14% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 22,085,388 shares of company stock valued at $284,827,231. Company insiders own 2.63% of the company's stock.

Institutional Trading of Cipher Mining

Several hedge funds have recently modified their holdings of the stock. Teacher Retirement System of Texas grew its stake in shares of Cipher Mining by 7.9% during the second quarter. Teacher Retirement System of Texas now owns 38,281 shares of the company's stock valued at $183,000 after purchasing an additional 2,812 shares during the last quarter. Wellington Management Group LLP grew its stake in shares of Cipher Mining by 11.7% during the first quarter. Wellington Management Group LLP now owns 27,990 shares of the company's stock valued at $64,000 after purchasing an additional 2,940 shares during the last quarter. DLK Investment Management LLC grew its stake in shares of Cipher Mining by 18.4% during the second quarter. DLK Investment Management LLC now owns 19,300 shares of the company's stock valued at $92,000 after purchasing an additional 3,000 shares during the last quarter. SBI Securities Co. Ltd. grew its stake in shares of Cipher Mining by 13.0% during the first quarter. SBI Securities Co. Ltd. now owns 29,948 shares of the company's stock valued at $69,000 after purchasing an additional 3,455 shares during the last quarter. Finally, Impact Partnership Wealth LLC grew its stake in shares of Cipher Mining by 7.5% during the second quarter. Impact Partnership Wealth LLC now owns 51,128 shares of the company's stock valued at $244,000 after purchasing an additional 3,573 shares during the last quarter. 12.26% of the stock is owned by institutional investors.

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.

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