Cipher Mining (NASDAQ:CIFR) Shares Gap Down - Here's Why

Key Points

• Cipher Mining shares fell 5.4%, opening at $16.05 versus the prior close of $16.90, amid heavy trading volume.
• The company reported a larger-than-expected quarterly loss of $0.65 per share and revenue of $24.84 million, missing analyst estimates of a $0.25 loss and $31.86 million in revenue.
• Despite the earnings miss, analysts maintain a “Moderate Buy” consensus with an average price target of $28.61, while insiders sold 131,258 shares worth roughly $2.93 million over the past 90 days.

Cipher Mining Inc. (NASDAQ:CIFR - Get Free Report) gapped down prior to trading on Thursday . The stock had previously closed at $16.90, but opened at $16.05. Cipher Mining shares last traded at $16.4180, with a volume of 17,255,120 shares trading hands.

Analyst Upgrades and Downgrades

Several equities analysts have weighed in on the company. Rosenblatt Securities reissued a "buy" rating and set a $30.00 price target on shares of Cipher Mining in a research report on Thursday. UBS Group set a $30.00 price target on Cipher Mining in a report on Monday, August 10th. Jefferies Financial Group initiated coverage on Cipher Mining in a research report on Thursday, May 14th. They issued a "buy" rating and a $32.00 price objective for the company. Sanford C. Bernstein initiated coverage on Cipher Mining in a research report on Wednesday, June 3rd. They set an "outperform" rating and a $32.00 target price on the stock. Finally, Needham & Company LLC upped their price objective on Cipher Mining from $22.00 to $25.00 and gave the stock a "buy" rating in a report on Friday, May 15th. One research analyst has rated the stock with a Strong Buy rating, sixteen have given a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average target price of $28.61.

Cipher Mining Trading Down 5.4%

The stock has a market cap of $6.64 billion, a price-to-earnings ratio of -5.58 and a beta of 3.15. The business has a 50 day simple moving average of $18.95 and a two-hundred day simple moving average of $19.16. The company has a current ratio of 3.00, a quick ratio of 3.00 and a debt-to-equity ratio of 9.69.

Cipher Mining (NASDAQ:CIFR - Get Free Report) last issued its quarterly earnings data on Tuesday, August 4th. The company reported ($0.65) EPS for the quarter, missing analysts' consensus estimates of ($0.25) by ($0.40). The company had revenue of $24.84 million for the quarter, compared to the consensus estimate of $31.86 million. Cipher Mining had a negative return on equity of 156.28% and a negative net margin of 585.75%.During the same quarter in the previous year, the company earned ($0.12) earnings per share. As a group, equities analysts anticipate that Cipher Mining Inc. will post -1.36 EPS for the current year.

Insider Transactions at Cipher Mining

In other news, CEO Tyler Page sold 112,500 shares of the company's stock in a transaction on Wednesday, July 8th. The stock was sold at an average price of $21.19, for a total transaction of $2,383,875.00. Following the transaction, the chief executive officer owned 9,084,225 shares of the company's stock, valued at $192,494,727.75. This represents a 1.22% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director James E. Newsome sold 3,758 shares of the business's stock in a transaction dated Tuesday, June 16th. The shares were sold at an average price of $26.60, for a total value of $99,962.80. Following the completion of the sale, the director owned 128,530 shares in the company, valued at approximately $3,418,898. This trade represents a 2.84% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 131,258 shares of company stock worth $2,925,288 in the last 90 days. 3.09% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. CoreCap Advisors LLC lifted its stake in shares of Cipher Mining by 41.7% during the 2nd quarter. CoreCap Advisors LLC now owns 1,700 shares of the company's stock valued at $42,000 after buying an additional 500 shares in the last quarter. Los Angeles Capital Management LLC purchased a new stake in Cipher Mining during the 4th quarter valued at $25,000. Arax Advisory Partners grew its stake in shares of Cipher Mining by 274.2% during the 4th quarter. Arax Advisory Partners now owns 1,826 shares of the company's stock valued at $27,000 after purchasing an additional 1,338 shares during the period. Meeder Asset Management Inc. bought a new stake in Cipher Mining during the 4th quarter worth approximately $28,000. Finally, Ancora Advisors LLC purchased a new stake in Cipher Mining in the 2nd quarter worth $49,000. 12.26% of the stock is owned by institutional investors and hedge funds.

About Cipher Mining

Cipher Mining Inc is a Nasdaq-listed bitcoin mining company that develops, owns and operates large-scale mining facilities across the United States. The company focuses on deploying advanced ASIC hardware and securing long-term low-cost power contracts to optimize bitcoin production. By strategically locating its sites in regions with abundant energy supply, Cipher Mining seeks to maintain a competitive cost structure and deliver efficient hashrate capacity growth.

Founded in 2021 and headquartered in Austin, Texas, Cipher Mining has pursued an integrated approach encompassing site development, equipment procurement and operations management.

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