Cipher Mining (NASDAQ:CIFR) Hits New 12-Month Low – Should You Sell?

Cipher Mining Inc. (NASDAQ:CIFR)’s share price hit a new 52-week low on Monday. The company traded as low as $6.73 and last traded at $6.8880, with a volume of 6,680,583 shares traded. The stock had previously closed at $7.29.

Key Stories Impacting Cipher Mining

Here are the key news stories impacting Cipher Mining this week:

• Positive Sentiment: JPMorgan called CIFR “substantially undervalued” and kept an Overweight rating, even as it reduced its price target to $18 from $22. JPMorgan calls CIFR stock substantially undervalued
• Positive Sentiment: The stock participated in a rebound among former bitcoin miners developing AI data centers. Cipher’s growth case includes $16.6 billion in contracted HPC revenue, improved Barber Lake lease economics and a 5.9-gigawatt development pipeline. Q3 earnings call highlights growth plans and cost pressures
• Positive Sentiment: Quarterly loss per share of $0.22 was narrower than analysts’ consensus estimate of $0.25, providing a modest earnings bright spot. Cipher Mining quarterly results
• Neutral Sentiment: Investors bought 205,000 CIFR call options, 47% above the average volume. The activity may indicate increased bullish positioning, but options trading alone does not establish a direction for the shares.
• Negative Sentiment: Revenue of $26.7 million missed the $39.31 million consensus and fell 62.8% year over year. Bitcoin-mining revenue dropped sharply, while early HPC rent has yet to replace the lost mining income. CIFR stock drops after Q3 revenue miss
• Negative Sentiment: Several analysts cut price targets, including Needham ($25 to $15), Rosenblatt ($30 to $19) and Cantor Fitzgerald ($19 to $15), though they retained Buy or Overweight ratings. Reports also highlighted substantial borrowing and quarterly interest expense, which could weigh on results as data-center facilities ramp up. Cipher Digital profit is a warrant gain

Wall Street Analyst Weigh In

Several analysts recently issued reports on CIFR shares. Needham & Company LLC reduced their price target on shares of Cipher Mining from $25.00 to $15.00 and set a “buy” rating on the stock in a research report on Tuesday. Rothschild & Co Redburn started coverage on shares of Cipher Mining in a research report on Monday, September 21st. They set a “neutral” rating and a $18.00 price objective for the company. UBS Group restated an “overweight” rating and set a $18.00 target price on shares of Cipher Mining in a research note on Tuesday. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Cipher Mining in a report on Monday, September 21st. Finally, Chardan Capital reaffirmed a “buy” rating and issued a $32.00 target price on shares of Cipher Mining in a report on Tuesday, August 4th. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $25.97.

Cipher Mining Stock Up 18.4%

The stock’s 50-day moving average is $13.85 and its 200-day moving average is $17.65. 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) last issued its quarterly earnings data on Monday, November 2nd. The company reported ($0.22) EPS for the quarter, beating the consensus estimate of ($0.25) by $0.03. Cipher Mining had a negative net margin of 742.33% and a negative return on equity of 156.28%. The business had revenue of $26.70 million during the quarter, compared to the consensus estimate of $39.31 million. During the same quarter in the prior year, the firm earned $0.10 EPS. The firm’s revenue was down 62.8% compared to the same quarter last year. As a group, research analysts expect that Cipher Mining Inc. will post -1.36 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the company. GK Wealth Management LLC bought a new stake in Cipher Mining during the 3rd quarter worth $25,000. CoreCap Advisors LLC raised its position in Cipher Mining by 41.7% during the 2nd quarter. CoreCap Advisors LLC now owns 1,700 shares of the company’s stock worth $42,000 after purchasing an additional 500 shares during the last quarter. Mirae Asset Global Investments Co. Ltd. bought a new position in Cipher Mining during the 3rd quarter worth $42,000. EverSource Wealth Advisors LLC raised its position in Cipher Mining by 259.4% during the 1st quarter. EverSource Wealth Advisors LLC now owns 3,357 shares of the company’s stock worth $43,000 after purchasing an additional 2,423 shares during the last quarter. Finally, Ancora Advisors LLC acquired a new position in Cipher Mining during the 2nd quarter worth about $49,000. 12.26% of the stock is currently owned by institutional investors.

About Cipher Mining

Cipher Mining Inc (NASDAQ: CIFR) is a bitcoin mining company that develops and operates large-scale data center infrastructure in the United States. The company uses specialized application-specific integrated circuit (ASIC) computers to validate transactions on the Bitcoin network and earn bitcoin rewards.

Cipher focuses on securing access to cost-effective power, building and managing mining facilities, and deploying high-performance computing equipment. Its operations are supported by power infrastructure, cooling systems, networking equipment and other data center technologies required for energy-intensive digital asset mining.

The company was formed through the combination of Cipher Mining Technologies Inc and Good Works Acquisition Corp.