Latest news with #CipherMining
Yahoo
14-05-2025
- Business
- Yahoo
Cipher Mining (CIFR) Is Considered a Good Investment by Brokers: Is That True?
The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price. Do they really matter, though? Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Cipher Mining Inc. (CIFR). Cipher Mining currently has an average brokerage recommendation (ABR) of 1.36, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 11 brokerage firms. An ABR of 1.36 approximates between Strong Buy and Buy. Of the 11 recommendations that derive the current ABR, eight are Strong Buy and two are Buy. Strong Buy and Buy respectively account for 72.7% and 18.2% of all recommendations. Check price target & stock forecast for Cipher Mining here>>>While the ABR calls for buying Cipher Mining, it may not be wise to make an investment decision solely based on this information. Several studies have shown limited to no success of brokerage recommendations in guiding investors to pick stocks with the best price increase potential. Are you wondering why? The vested interest of brokerage firms in a stock they cover often results in a strong positive bias of their analysts in rating it. Our research shows that for every "Strong Sell" recommendation, brokerage firms assign five "Strong Buy" recommendations. This means that the interests of these institutions are not always aligned with those of retail investors, giving little insight into the direction of a stock's future price movement. It would therefore be best to use this information to validate your own analysis or a tool that has proven to be highly effective at predicting stock price movements. Zacks Rank, our proprietary stock rating tool with an impressive externally audited track record, categorizes stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), and is an effective indicator of a stock's price performance in the near future. Therefore, using the ABR to validate the Zacks Rank could be an efficient way of making a profitable investment decision. In spite of the fact that Zacks Rank and ABR both appear on a scale from 1 to 5, they are two completely different measures. Broker recommendations are the sole basis for calculating the ABR, which is typically displayed in decimals (such as 1.28). The Zacks Rank, on the other hand, is a quantitative model designed to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5. Analysts employed by brokerage firms have been and continue to be overly optimistic with their recommendations. Since the ratings issued by these analysts are more favorable than their research would support because of the vested interest of their employers, they mislead investors far more often than they guide. On the other hand, earnings estimate revisions are at the core of the Zacks Rank. And empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. Furthermore, the different grades of the Zacks Rank are applied proportionately across all stocks for which brokerage analysts provide earnings estimates for the current year. In other words, at all times, this tool maintains a balance among the five ranks it assigns. Another key difference between the ABR and Zacks Rank is freshness. The ABR is not necessarily up-to-date when you look at it. But, since brokerage analysts keep revising their earnings estimates to account for a company's changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in indicating future price movements. In terms of earnings estimate revisions for Cipher Mining, the Zacks Consensus Estimate for the current year has declined 13.3% over the past month to -$0.43. Analysts' growing pessimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates lower, could be a legitimate reason for the stock to plunge in the near term. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #4 (Sell) for Cipher Mining. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> Therefore, it could be wise to take the Buy-equivalent ABR for Cipher Mining with a grain of salt. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Cipher Mining Inc. (CIFR) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Reuters
13-05-2025
- Business
- Reuters
French utility Engie signs deal to sell power to US data center company
PARIS, May 13 (Reuters) - French utility Engie ( opens new tab said on Tuesday it had signed a deal to supply up to 300 megawatts of wind power to U.S. data center company Cipher Mining Inc. The so-called power purchase agreement allows the co-located data center to use electricity during periods of excess generation, while enhancing grid stability and reliability, the utility said. A co-located data center is a project where equipment, space, and bandwidth are available for rental to retail customers.
Yahoo
07-02-2025
- Business
- Yahoo
Brokers Are Upgrading Their Views On Cipher Mining Inc. (NASDAQ:CIFR) With These New Forecasts
Shareholders in Cipher Mining Inc. (NASDAQ:CIFR) may be thrilled to learn that the analysts have just delivered a major upgrade to their near-term forecasts. The analysts greatly increased their revenue estimates, suggesting a stark improvement in business fundamentals. Investors have been pretty optimistic on Cipher Mining too, with the stock up 25% to US$5.89 over the past week. We'll be curious to see if these new estimates convince the market to lift the stock price higher still. After this upgrade, Cipher Mining's nine analysts are now forecasting revenues of US$345m in 2025. This would be a substantial 126% improvement in sales compared to the last 12 months. Losses are predicted to fall substantially, shrinking 79% to US$0.032 per share. However, before this estimates update, the consensus had been expecting revenues of US$316m and US$0.13 per share in losses. There's been a pretty noticeable increase in sentiment, with the analysts upgrading revenues and making a very promising decrease in loss per share in particular. Check out our latest analysis for Cipher Mining There was no major change to the consensus price target of US$8.53, perhaps suggesting that the analysts remain concerned about ongoing losses despite the improved earnings and revenue outlook. These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Cipher Mining's past performance and to peers in the same industry. The period to the end of 2025 brings more of the same, according to the analysts, with revenue forecast to display 92% growth on an annualised basis. That is in line with its 112% annual growth over the past three years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenues grow 12% per year. So although Cipher Mining is expected to maintain its revenue growth rate, it's definitely expected to grow faster than the wider industry. The highlight for us was that the consensus reduced its estimated losses next year, perhaps suggesting Cipher Mining is moving incrementally towards profitability. Fortunately, analysts also upgraded their revenue estimates, and our data indicates sales are expected to perform better than the wider market. Some investors might be disappointed to see that the price target is unchanged, but we feel that improving fundamentals are usually a positive - assuming these forecasts are met! So Cipher Mining could be a good candidate for more research. Analysts are definitely bullish on Cipher Mining, but no company is perfect. Indeed, you should know that there are several potential concerns to be aware of, including major dilution from new stock issuance in the past year. You can learn more, and discover the 2 other concerns we've identified, for free on our platform here. Another way to search for interesting companies that could be reaching an inflection point is to track whether management are buying or selling, with our free list of growing companies backed by insiders. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
