Cleanspark (NASDAQ:CLSK) Stock Falls 5.8% – Here’s Why

Shares of Cleanspark, Inc. (NASDAQ:CLSK) dropped 5.8% during mid-day trading on Thursday. The company traded as low as $10.80 and last traded at $10.85. 4,761,214 shares traded hands during mid-day trading, a decline of 79% from the average daily volume of 22,305,309 shares. The stock had previously closed at $11.52.

Wall Street Analyst Weigh In

A number of equities analysts have recently commented on the company. Citigroup began coverage on Cleanspark in a research report on Wednesday, June 24th. They set an “outperform” rating for the company. HC Wainwright reissued a “buy” rating on shares of Cleanspark in a research report on Friday, August 7th. Keefe, Bruyette & Woods raised their price objective on shares of Cleanspark from $16.00 to $25.00 and gave the company an “outperform” rating in a report on Tuesday, July 28th. Chardan Capital reaffirmed a “buy” rating and set a $21.00 price objective on shares of Cleanspark in a research report on Monday, August 10th. Finally, BTIG Research reiterated a “buy” rating and set a $26.00 target price on shares of Cleanspark in a research note on Tuesday, July 14th. One analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $23.88.

Cleanspark Price Performance

The stock has a market capitalization of $2.69 billion, a price-to-earnings ratio of -2.78 and a beta of 3.84. The company has a quick ratio of 5.91, a current ratio of 5.91 and a debt-to-equity ratio of 2.34. The stock has a fifty day moving average of $12.69 and a 200-day moving average of $13.30.

Cleanspark (NASDAQ:CLSK) last released its quarterly earnings data on Thursday, August 6th. The company reported ($0.89) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.47) by ($0.42). Cleanspark had a negative return on equity of 18.63% and a negative net margin of 146.90%. The company had revenue of $138.01 million for the quarter, compared to analyst estimates of $142.37 million. During the same period in the previous year, the business posted $0.90 EPS. The firm’s revenue for the quarter was down 30.5% compared to the same quarter last year. On average, equities research analysts predict that Cleanspark, Inc. will post -1.40 EPS for the current fiscal year.

Insider Buying and Selling

In related news, COO Taylor Monnig sold 3,335 shares of Cleanspark stock in a transaction on Thursday, October 1st. The shares were sold at an average price of $12.33, for a total transaction of $41,120.55. Following the sale, the chief operating officer directly owned 336,810 shares in the company, valued at $4,152,867.30. This trade represents a 0.98% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. In the last quarter, insiders have sold 33,151 shares of company stock worth $435,473. 2.08% of the stock is owned by company insiders.

Hedge Funds Weigh In On Cleanspark

Several hedge funds have recently made changes to their positions in CLSK. Dimensional Fund Advisors LP boosted its stake in shares of Cleanspark by 81.3% during the first quarter. Dimensional Fund Advisors LP now owns 14,102,777 shares of the company’s stock worth $120,007,000 after buying an additional 6,323,715 shares during the period. Situational Awareness LP grew its holdings in shares of Cleanspark by 648.4% during the first quarter. Situational Awareness LP now owns 12,276,139 shares of the company’s stock worth $104,470,000 after buying an additional 10,635,739 shares during the last quarter. Bank of America Corp DE increased its position in Cleanspark by 49.2% in the 1st quarter. Bank of America Corp DE now owns 2,576,687 shares of the company’s stock valued at $21,928,000 after acquiring an additional 849,865 shares during the period. Intrinsic Edge Capital Management LLC increased its position in Cleanspark by 617.3% in the 1st quarter. Intrinsic Edge Capital Management LLC now owns 894,735 shares of the company’s stock valued at $7,614,000 after acquiring an additional 770,000 shares during the period. Finally, Headlands Technologies LLC raised its stake in Cleanspark by 214.8% during the 2nd quarter. Headlands Technologies LLC now owns 512,476 shares of the company’s stock valued at $7,457,000 after acquiring an additional 349,658 shares during the last quarter. Hedge funds and other institutional investors own 43.12% of the company’s stock.

About Cleanspark

CleanSpark, Inc is a U.S.-based bitcoin mining and energy technology company traded on the Nasdaq under the symbol CLSK. Its primary business is operating data centers that use specialized computing equipment to validate transactions on the Bitcoin network and earn bitcoin as a reward.

The company develops and operates its mining infrastructure in the United States, with facilities and operations located across several states. CleanSpark focuses on expanding and optimizing its data-center capacity, managing energy usage, and securing power resources to support its mining activities.

Before emphasizing bitcoin mining, CleanSpark was associated with energy-management and distributed-energy technologies designed to help businesses and communities improve energy efficiency and resilience.