Bitfarms Valuation
| BITF Stock | 2.59 0.11 4.07% |
Based on Macroaxis valuation methodology, the firm appears to be overvalued. Bitfarms shows a prevailing Real Value of USD2.29 per share. The current price of the firm is USD2.59. Our model approximates the value of Bitfarms from analyzing the firm fundamentals such as Return On Equity of -0.28, profit margin of (0.62) %, and Current Valuation of 939.29 M as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Bitfarms' valuation include:
Price Book 1.8046 | Enterprise Value 939.3 M | Enterprise Value Ebitda 22.2346 | Price Sales 6.8873 | Forward PE 84.0336 |
Overvalued
Today
Please note that Bitfarms' price fluctuation is very risky at this time. Calculation of the real value of Bitfarms is based on 3 months time horizon. Increasing Bitfarms' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Bitfarms is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Bitfarms Stock. However, Bitfarms' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 2.59 | Real 2.29 | Hype 2.59 | Naive 2.82 |
The intrinsic value of Bitfarms' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Bitfarms' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Bitfarms helps investors to forecast how Bitfarms stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Bitfarms more accurately as focusing exclusively on Bitfarms' fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Bitfarms' intrinsic value based on its ongoing forecasts of Bitfarms' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Bitfarms' closest peers.
Bitfarms Cash |
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Bitfarms Valuation Trend
Knowing Bitfarms' actual value is paramount for traders when making sound investment determinations. Using both Bitfarms' enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
Bitfarms Total Value Analysis
Bitfarms is currently estimated to have takeover price of 939.29 M with market capitalization of 1.19 B, debt of 19.87 M, and cash on hands of 125.59 M. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Bitfarms fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
939.29 M | 1.19 B | 19.87 M | 125.59 M |
Bitfarms Investor Information
About 23.0% of the company shares are held by company insiders. The company has price-to-book (P/B) ratio of 1.8. Some equities with similar Price to Book (P/B) outperform the market in the long run. Bitfarms recorded a loss per share of 0.5. The entity had not issued any dividends in recent years. Based on the key indicators related to Bitfarms' liquidity, profitability, solvency, and operating efficiency, Bitfarms is not in a good financial situation at the present time. It has a very high chance of going through financial crunch in December.Bitfarms Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Bitfarms has an asset utilization ratio of 38.65 percent. This suggests that the Company is making USD0.39 for each dollar of assets. An increasing asset utilization means that Bitfarms is more efficient with each dollar of assets it utilizes for everyday operations.Bitfarms Ownership Allocation
Bitfarms holds a total of 459.24 Million outstanding shares. Bitfarms retains significant amount of outstanding shares owned by insiders. An insider is usually defined as a CEO, other corporate executive, director, or institutional investor who own at least 10% of the company's outstanding shares. Since such a large part of the company is owned by insiders, it is advisable to analyze if each of these insiders have been buying or selling the stock in recent months. Please note that no matter how many assets the company secures, if the real value of the firm is less than the current market value, you may not be able to make money on it.Bitfarms Profitability Analysis
The company reported the revenue of 146.37 M. Net Loss for the year was (104.04 M) with profit before overhead, payroll, taxes, and interest of 10.52 M.About Bitfarms Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Bitfarms. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Bitfarms based exclusively on its fundamental and basic technical indicators. By analyzing Bitfarms's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Bitfarms's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Bitfarms. We calculate exposure to Bitfarms's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Bitfarms's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | -21.5 M | -20.4 M | |
| Pretax Profit Margin | (0.71) | (0.68) | |
| Operating Profit Margin | (0.49) | (0.47) | |
| Net Loss | (0.71) | (0.68) | |
| Gross Profit Margin | (0.15) | (0.14) |
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Bitfarms. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors. To learn how to invest in Bitfarms Stock, please use our How to Invest in Bitfarms guide.You can also try the Money Managers module to screen money managers from public funds and ETFs managed around the world.