Canaan (NASDAQ:CAN) Trading 9.7% Higher – Time to Buy?

Canaan Inc. Sponsored ADR (NASDAQ:CAN)’s stock price traded up 9.7% during mid-day trading on Monday . The stock traded as high as $0.3680 and last traded at $0.3512. 11,420,194 shares were traded during trading, an increase of 11% from the average session volume of 10,266,210 shares. The stock had previously closed at $0.3202.

Analyst Ratings Changes

A number of equities analysts have recently weighed in on CAN shares. BTIG Research reaffirmed a “buy” rating and issued a $3.00 price target on shares of Canaan in a research note on Tuesday, May 19th. Weiss Ratings downgraded shares of Canaan from a “sell (d-)” rating to a “sell (e+)” rating in a research note on Tuesday, May 19th. Rosenblatt Securities dropped their price target on shares of Canaan from $2.25 to $1.30 and set a “buy” rating on the stock in a research note on Wednesday, May 20th. Finally, Wall Street Zen raised shares of Canaan to a “sell” rating in a research note on Saturday, April 18th. Six analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, Canaan presently has an average rating of “Moderate Buy” and a consensus target price of $2.01.

Canaan Price Performance

The company has a quick ratio of 2.04, a current ratio of 3.34 and a debt-to-equity ratio of 0.09. The firm has a market capitalization of $251.53 million, a price-to-earnings ratio of -1.03 and a beta of 2.53. The stock’s 50 day moving average price is $0.45 and its two-hundred day moving average price is $0.59.

Canaan (NASDAQ:CAN) last posted its quarterly earnings results on Tuesday, May 19th. The company reported ($0.13) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.07) by ($0.06). Canaan had a negative return on equity of 55.84% and a negative net margin of 41.71%.The company had revenue of $62.69 million during the quarter, compared to analyst estimates of $9.50 million. During the same period last year, the company posted ($0.02) earnings per share. Analysts anticipate that Canaan Inc. Sponsored ADR will post -0.15 EPS for the current fiscal year.

Institutional Investors Weigh In On Canaan

A number of large investors have recently bought and sold shares of CAN. SBI Securities Co. Ltd. boosted its holdings in Canaan by 155.5% in the fourth quarter. SBI Securities Co. Ltd. now owns 1,698,885 shares of the company’s stock worth $1,172,000 after purchasing an additional 1,034,040 shares in the last quarter. Goldman Sachs Group Inc. boosted its holdings in Canaan by 52.0% in the first quarter. Goldman Sachs Group Inc. now owns 587,451 shares of the company’s stock worth $516,000 after purchasing an additional 200,869 shares in the last quarter. SG Americas Securities LLC acquired a new position in Canaan during the first quarter valued at approximately $43,000. Finally, Virtu Financial LLC acquired a new position in Canaan during the fourth quarter valued at approximately $46,000. 70.14% of the stock is currently owned by institutional investors.

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.