CleanSpark Inc (NASDAQ:CLSK) shares were down on Tuesday, even after the company reported upbeat fourth-quarter results.
The company reported its results amid an exciting earnings season. Here are some key analyst takeaways.
HC Wainwright On CleanSpark
Analyst Mike Colonnese reiterated a Buy rating and price target of $27.
CleanSpark, a Bitcoin mining company that offers investors "pure-play exposure" to the world's largest crypto, reported "solid" results for the fourth quarter and fiscal 2024, Colonnese said in a note.
"FY2024 was another strong year of execution for CLSK," with the company growing total deployed capacity by 187% year-on-year to 27.6 EH/s at the end of September versus an average of around 75% for its peers, the analyst stated. CleanSpark also improved its overall fleet efficiency by 23%, he added.
The company's revenue grew by 125% to $379 million on total Bitcoin production of 7,098 for the year. Its adjusted EBITDA and margins grew to $246 million and 65%, respectively, "a significant improvement from $25M/15% in the prior year on higher BTC prices and lower power costs," Colonnese wrote.
Management reiterated their prior calendar year 2024 and 2025 guidance of 37 EH/s and 50 EH/s, respectively.
Check out other analyst stock ratings.
JPMorgan On CleanSpark
Analyst Reginald Smith reiterated a Neutral rating on the stock.
CleanSpark's coins mined and total revenues declined on a sequential basis, with slightly lower Bitcoin prices, Smith said. "Cash operating expenses ticked higher sequentially, which does not come as a big surprise given CleanSpark's recent geographic expansion and the close of the GRIID acquisition," he added.
Management reiterated its commitment to reaching 50 EH/s in 2025, the analyst stated. "All told, it was a solid, albeit relatively quiet, quarter, and CleanSpark seems ready to reuse its greenfield expansion and M&A playbook in 2025 to continue growing hashrate," he further wrote.
CLSK Price Action: Shares of CleanSparkhad declined by 3.37% to $14.02 at the time of publication on Tuesday.
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