Bitfarms (NASDAQ:BITF) Shares Down 8.5% - Here's Why

Bitfarms Ltd. (NASDAQ:BITF) experienced a notable decline of 8.5% in its share price during trading on Tuesday, with the stock reaching a low of $1.16 before closing at $1.14. On that day, approximately 3,301,980 shares changed hands, marking a significant drop of 92% compared to the average daily trading volume of 40,665,793 shares. The stock previously closed at $1.24.

Wall Street Analyst Insights

The performance of Bitfarms has prompted various research analysts to weigh in. For instance, HC Wainwright maintained a "buy" rating and set a target price of $4.00 for the company's shares as of November 14th. Similarly, Alliance Global Partners initiated coverage on Bitfarms on December 4th, assigning a "buy" rating and a target price of $6.00. Furthermore, Stifel Canada upgraded Bitfarms from a "hold" to a "moderate buy" rating in a report released on November 22nd. Additionally, Keefe, Bruyette & Woods began coverage on the stock with an "outperform" rating as of January 8th. Overall, one investment analyst has suggested a hold rating, while six have issued buy ratings, leading to a consensus rating of "Moderate Buy" with a target price of $4.05 according to MarketBeat.

Latest Research on Bitfarms

Analyzing Bitfarms' Price Trends

Looking at Bitfarms' pricing metrics, the company currently has a 50-day moving average of $1.55 and a 200-day moving average of $1.90. Its market capitalization stands at approximately $529.66 million. Bitfarms has a price-to-earnings (P/E) ratio of -3.10 and a beta of 3.65, indicating high volatility. The company's debt-to-equity ratio is quite low at 0.04, with a quick ratio of 3.68 and a current ratio of 3.70, suggesting strong liquidity.

Institutional Activity Impacting Shares

Recent trading has seen various institutional investors adjust their stakes in Bitfarms. For example, HighTower Advisors LLC acquired a new stake valued at $25,000 during the third quarter, while Lifeworks Advisors LLC took a position worth approximately $37,000 in the same quarter. Additionally, Money Concepts Capital Corp purchased a new position valued at around $30,000, and Guided Capital Wealth Management LLC made a similar investment of $30,000 in the fourth quarter. National Bank of Canada FI notably increased its stake in Bitfarms by an impressive 2,629.2% during the fourth quarter, now owning 20,633 shares valued at $31,000 after buying an additional 19,877 shares. Overall, institutional investors own about 20.59% of Bitfarms' stock.

About Bitfarms

Bitfarms Ltd. is engaged in cryptocurrency mining across several countries, including Canada, the United States, Paraguay, and Argentina. The company operates server farms that mainly validate transactions on the Bitcoin blockchain, earning cryptocurrency from both block rewards and transaction fees. Additionally, Bitfarms provides electrical services to commercial and residential clients in Quebec, Canada.

Further Information

For those exploring investment opportunities, it's important to assess multiple options. Research shows that while analysts have a "Moderate Buy" rating for Bitfarms, there are other stocks recommended by top analysts that may offer better potential returns. Interested investors should conduct thorough research before making any decisions.

Bitfarms, Stocks, Investment