Cipher Mining (NASDAQ:CIFR) Shares Gap Down Following Analyst Downgrade

Cipher Mining Inc. (NASDAQ:CIFR)’s stock price gapped down before the market opened on Wednesday after Keefe, Bruyette & Woods downgraded the stock from an outperform rating to a market perform rating. The stock had previously closed at $8.12, but opened at $6.99. Keefe, Bruyette & Woods now has a $9.50 price target on the stock. Cipher Mining shares last traded at $6.7980, with a volume of 24,621,566 shares traded.

Other equities analysts also recently issued reports about the stock. Needham & Company LLC dropped their target price on shares of Cipher Mining from $25.00 to $15.00 and set a “buy” rating for the company in a research note on Tuesday. Freedom Capital raised shares of Cipher Mining to a “hold” rating in a research note on Friday, September 18th. Cantor Fitzgerald lowered their price target on shares of Cipher Mining from $19.00 to $15.00 and set an “overweight” rating for the company in a report on Tuesday. Weiss Ratings restated a “sell (d-)” rating on shares of Cipher Mining in a research report on Monday, September 21st. Finally, UBS Group reaffirmed an “overweight” rating and set a $18.00 price objective on shares of Cipher Mining in a report on Tuesday. One investment analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, four have given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $24.81.

Cipher Mining News Summary

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

• Positive Sentiment: Cipher reported its first high-performance computing lease revenue, while an expansion at Barber Lake lifted contracted revenue to $9.1 billion. This supports the company’s transition from Bitcoin mining toward data-center hosting. Cipher Digital books first HPC lease revenue as Bitcoin mining fades
• Positive Sentiment: The Colchis site received a conditional 1-gigawatt base-load classification, potentially supporting future data-center development. Cipher Digital: 3 Key Takeaways for Long-Term Investors
• Neutral Sentiment: Investors are comparing former crypto miners on their ability to secure AI/data-center tenants. That focus may make Cipher’s lease progress a potential advantage, but also leaves it under scrutiny against peers with announced customer commitments. Riot Platforms Soars on Earnings and AI Lease; Cipher Digital Plunges
• Negative Sentiment: Keefe, Bruyette & Woods downgraded CIFR from “outperform” to “market perform” and set a $9.50 target, adding to recent target reductions and weighing on sentiment. Keefe, Bruyette & Woods recommendations
• Negative Sentiment: Recent results highlighted execution and financing risks: Bitcoin-mining revenue fell sharply, initial HPC rent was modest by comparison, and substantial borrowings drove high interest expense. A prior $850 million convertible-debt offering also contributed to investor concerns about AI-sector financing and potential dilution. Cipher Digital Profit Is a Warrant Gain

Hedge Funds Weigh In On Cipher Mining

Several hedge funds have recently added to or reduced their stakes in CIFR. GK Wealth Management LLC bought a new position in Cipher Mining during the third quarter worth about $25,000. CoreCap Advisors LLC grew its position 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 worth $42,000 after buying an additional 500 shares during the period. Ancora Advisors LLC bought a new stake in shares of Cipher Mining in the 2nd quarter valued at about $49,000. Harbor Investment Advisory LLC bought a new stake in shares of Cipher Mining in the 2nd quarter valued at about $58,000. Finally, Mirae Asset Global Investments Co. Ltd. acquired a new stake in shares of Cipher Mining in the 3rd quarter valued at approximately $42,000. Institutional investors and hedge funds own 12.26% of the company’s stock.

Cipher Mining Stock Down 16.9%

The firm has a market capitalization of $2.80 billion, a price-to-earnings ratio of -2.18 and a beta of 3.53. The business’s 50-day moving average is $13.85 and its two-hundred day moving average is $17.65. The company has a debt-to-equity ratio of 9.69, a quick ratio of 3.00 and a current ratio of 3.00.

Cipher Mining (NASDAQ:CIFR) last issued its quarterly earnings data on Monday, November 2nd. The company reported ($0.22) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.25) by $0.03. The firm had revenue of $26.70 million during the quarter, compared to analysts’ expectations of $39.31 million. Cipher Mining had a negative net margin of 742.33% and a negative return on equity of 156.28%. The business’s revenue for the quarter was down 62.8% on a year-over-year basis. During the same quarter in the previous year, the company earned $0.10 earnings per share. On average, equities analysts anticipate that Cipher Mining Inc. will post -1.36 earnings per share for the current year.

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.