Bitfarms (NASDAQ:BITF) Shares Gap Up - Still a Buy?

Bitfarms Ltd. (NASDAQ:BITF) experienced a notable increase in its stock price prior to trading on Monday. The shares opened at $1.28, a rise from the previous closing price of $1.16. The last trading price for Bitfarms was $1.21, with a significant volume of 13,190,309 shares exchanged.

Wall Street Analysts Forecast Growth

Recent commentary from various equities research analysts indicates optimism about Bitfarms. Keefe, Bruyette & Woods began coverage of the company with an "outperform" rating in a note dated January 8th. Additionally, HC Wainwright reaffirmed a "buy" rating on November 14th, setting a price target of $4.00 for Bitfarms shares. Meanwhile, Alliance Global Partners initiated coverage on December 4th, assigning a "buy" rating and price target of $6.00. Furthermore, Stifel Canada upgraded Bitfarms from a "hold" to a "moderate buy" rating on November 22nd. Currently, one analyst has rated Bitfarms with a hold, while six others have given it a buy rating. MarketBeat.com reports an overall consensus rating of "Moderate Buy" and an average target price of $4.05.

Bitfarms Price Performance

Bitfarms holds a market capitalization of $565.61 million, exhibiting a price-to-earnings ratio of -3.28 and a beta of 3.64. The firm boasts a quick ratio of 3.68 and a current ratio of 3.70, with a low debt-to-equity ratio of 0.04. Its 50-day simple moving average is $1.47, while the 200-day simple moving average rests at $1.85.

Institutional Investors Weigh In On Bitfarms

Various institutional investors have recently adjusted their positions in Bitfarms. Chesapeake Capital Corp IL raised its stake by 27.9% during the third quarter, acquiring an additional 4,800 shares to reach a total of 22,000 shares valued at $50,000. Gladstone Institutional Advisory LLC increased its position by 3.2% in the same quarter, owning 159,550 shares worth $337,000 after adding 5,000 shares. Lifeworks Advisors LLC notably raised its stake by 42.4% during the fourth quarter, acquiring 7,339 shares to own 24,664 shares valued at $37,000. Cresset Asset Management LLC increased holdings by 54.6% in the fourth quarter, amassing 27,735 shares worth $41,000. Another institutional investor, HighTower Advisors LLC, also entered a new investment in Bitfarms valued at $25,000 during the third quarter. Collectively, institutional investors and hedge funds own 20.59% of the company’s stock.

Bitfarms Company Profile

Bitfarms Ltd. is involved in mining cryptocurrencies in various locations including Canada, the United States, Paraguay, and Argentina. The company operates server farms that mainly validate transactions on the Bitcoin blockchain while earning cryptocurrency from block rewards and transaction fees. Additionally, Bitfarms provides electrician services to both commercial and residential customers in Quebec, Canada.

Should You Invest $1,000 in Bitfarms Right Now?

Before making an investment in Bitfarms, it's essential to understand the current market sentiment. Although analysts have rated Bitfarms as a Moderate Buy, it’s important to note that the top-rated analysts have identified five other stocks they believe to be more favorable investments at this time.

Bitfarms, Stocks, Investment