CAN - Canaan: I Still Can't Justify A Buy
2024-03-21 15:16:46 ET
Summary
- Canaan is one of the top Bitcoin mining hardware companies in the market.
- The company produced a surprise revenue beat in Q4-23 and is guiding for $103 million in revenue in the first half of 2024.
- Cash burn is high and Canaan appears reliant on its ATM to fund operations.
- Canaan is still sitting on old inventory and BTC gains being pulled forward may negatively impact demand for rigs post-halving.
Bitcoin ( BTC-USD ) and nearly every Bitcoin-related stock have been on a ride to the moon over the last four of five months. Notably missing from this rocket ride is Canaan Inc. ( CAN ). I covered CAN for Seeking Alpha back in October shortly before the US stock market started a nearly 5-month long rally that has had virtually no meaningful pullback whatsoever....
Canaan: I Still Can't Justify A Buy