Canaan (NASDAQ:CAN) Releases Earnings Results, Misses Estimates By $0.07 EPS

Canaan (NASDAQ:CAN) issued its quarterly earnings data on Tuesday. The company reported ($0.13) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.06) by ($0.07), Zacks reports. Canaan had a negative return on equity of 71.85% and a negative net margin of 51.66%.

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 Price Performance

Shares of CAN stock traded up $0.01 during trading hours on Tuesday, reaching $0.62. 4,142,410 shares of the stock were exchanged, compared to its average volume of 19,052,402. The business’s fifty day moving average is $0.78 and its two-hundred day moving average is $0.92. The firm has a market capitalization of $230.45 million, a P/E ratio of -0.91 and a beta of 2.85. Canaan has a 12-month low of $0.50 and a 12-month high of $2.22.

Canaan declared that its Board of Directors has approved a share buyback program on Wednesday, December 17th that authorizes the company to buyback $0.00 in shares. This buyback authorization authorizes the company to purchase shares of its stock through open market purchases. Shares buyback programs are typically an indication that the company’s board believes its stock is undervalued.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently issued reports on the stock. Wall Street Zen downgraded shares of Canaan from a “hold” rating to a “sell” rating in a research note on Saturday, January 17th. Benchmark lifted their target price on shares of Canaan from $2.00 to $4.00 and gave the company a “buy” rating in a report on Thursday, October 23rd. B. Riley Financial decreased their price target on Canaan from $3.00 to $2.50 and set a “buy” rating on the stock in a research note on Friday, November 21st. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Canaan in a research note on Wednesday, January 21st. Finally, Rosenblatt Securities decreased their target price on Canaan from $4.00 to $2.50 and set a “buy” rating on the stock in a research note on Monday. Six research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, Canaan has an average rating of “Moderate Buy” and a consensus target price of $2.75.

Institutional Investors Weigh In On Canaan

An institutional investor recently raised its position in Canaan stock. Goldman Sachs Group Inc. grew its holdings in Canaan Inc. Sponsored ADR (NASDAQ:CAN) by 52.0% during the first quarter, according to the company in its most recent filing with the SEC. The fund owned 587,451 shares of the company’s stock after acquiring an additional 200,869 shares during the quarter. Goldman Sachs Group Inc. owned about 0.21% of Canaan worth $516,000 at the end of the most recent reporting period. 70.14% of the stock is currently owned by hedge funds and other 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.