Canaan (NASDAQ:CAN) Issues Quarterly Earnings Results, Misses Expectations By $0.07 EPS

Canaan (NASDAQ:CAN) issued its earnings results on Tuesday. The company reported ($0.13) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.06) by ($0.07), Zacks reports. The business had revenue of $196.27 million for the quarter, compared to the consensus estimate of $25.30 million. Canaan had a negative return on equity of 66.53% and a negative net margin of 39.69%.

Here are the key takeaways from Canaan’s conference call:

• $196 million in Q4 revenue (up 30.4% QoQ and 121.1% YoY), driven by a record 14.6 exahash sold and product revenue of $165 million, topping the midpoint of guidance.
• Secured a >50,000-unit order of A15 Pro from a leading North American miner and reported the order was fully delivered by early January 2026, highlighting supply-chain execution.
• Self-mining and treasury: installed hash rate reached ~9.91 EH (7.7 EH energized), mined ~300 BTC in Q4, and year-end holdings were 1,750 BTC and 3,961 ETH (≈$166M), providing liquidity but subject to price volatility.
• Margins and non-cash charges pressured results: a $13.9 million inventory write-down, ~$44 million fair-value loss on crypto plus $15 million on preferred share conversion contributed to an adjusted EBITDA loss of $40.5 million.
• 2026 strategy centers on securing direct U.S. power capacity (targeting potential gigawatt-scale load by year-end 2026), exploring AI HPC co-location, and scaling 2C/SMB channels—long-term growth aims but execution and capital discipline are emphasized; Q1 revenue guide is $60–70 million.

Canaan Trading Down 0.9%

NASDAQ CAN opened at $0.56 on Thursday. Canaan has a 1-year low of $0.50 and a 1-year high of $2.22. The firm’s fifty day simple moving average is $0.76 and its 200-day simple moving average is $0.92. The company has a market capitalization of $208.82 million, a PE ratio of -1.17 and a beta of 2.85.

Institutional Investors Weigh In On Canaan

A hedge fund recently raised its stake in Canaan stock. Goldman Sachs Group Inc. raised its stake in shares of Canaan Inc. Sponsored ADR (NASDAQ:CAN) by 52.0% during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 587,451 shares of the company’s stock after purchasing an additional 200,869 shares during the period. Goldman Sachs Group Inc. owned 0.21% of Canaan worth $516,000 as of its most recent SEC filing. Institutional investors and hedge funds own 70.14% of the company’s stock.

Analysts Set New Price Targets

CAN has been the subject of several research reports. Wall Street Zen lowered Canaan from a “hold” rating to a “sell” rating in a research note on Saturday, January 17th. Benchmark cut their price objective on Canaan from $4.00 to $2.00 and set a “buy” rating on the stock in a report on Wednesday. HC Wainwright reaffirmed a “buy” rating and set a $1.50 price objective on shares of Canaan in a research note on Wednesday. Rosenblatt Securities decreased their target price on shares of Canaan from $4.00 to $2.50 and set a “buy” rating for the company in a report on Monday. Finally, BTIG Research restated a “buy” rating and set a $3.00 price target on shares of Canaan in a report on Wednesday. Six equities research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, Canaan currently has a consensus rating of “Moderate Buy” and an average price target of $2.25.

Canaan declared that its board has approved a stock repurchase plan on Wednesday, December 17th that authorizes the company to buyback $0.00 in outstanding shares. This buyback authorization authorizes the company to purchase shares of its stock through open market purchases. Stock buyback plans are often an indication that the company’s leadership believes its stock is undervalued.

About Canaan

Canaan Inc is a China-based technology company specializing in the design and manufacture of high-performance computing hardware for the digital currency and blockchain industry. The company’s core business revolves around application-specific integrated circuit (ASIC) miners, which are purpose-built machines optimized for cryptocurrency mining. By focusing on energy efficiency and processing power, Canaan’s mining rigs aim to deliver competitive hash rates while managing power consumption in large-scale operations.

The flagship product line, known as AvalonMiner, encompasses a range of models tailored to different scales of mining activity, from small-scale hobbyist setups to industrial farms.