Canaan (NASDAQ:CAN) Rating Lowered to “Sell” at Wall Street Zen

Canaan (NASDAQ:CAN) was downgraded by equities research analysts at Wall Street Zen from a “hold” rating to a “sell” rating in a research report issued to clients and investors on Saturday.

Other research analysts have also issued reports about the company. Northland Securities initiated coverage on Canaan in a research report on Wednesday. They issued a “market perform” rating and a $1.50 price objective for the company. Rosenblatt Securities reiterated a “buy” rating and issued a $5.00 price objective on shares of Canaan in a research report on Monday, June 16th. Northland Capmk upgraded Canaan to a “hold” rating in a research report on Wednesday. Compass Point initiated coverage on Canaan in a research report on Tuesday, March 18th. They issued a “buy” rating and a $2.50 price objective for the company. Finally, HC Wainwright reiterated a “buy” rating and issued a $3.00 price objective on shares of Canaan in a research report on Thursday, March 27th. One equities research analyst has rated the stock with a sell rating, three have assigned a hold rating and five have issued a buy rating to the company. According to MarketBeat.com, Canaan currently has a consensus rating of “Hold” and a consensus price target of $2.67.

Canaan Price Performance

CAN stock opened at $0.61 on Friday. The company has a debt-to-equity ratio of 0.09, a current ratio of 1.50 and a quick ratio of 1.11. The business has a 50 day simple moving average of $0.70 and a 200-day simple moving average of $1.35. The firm has a market capitalization of $226.95 million, a PE ratio of -0.60 and a beta of 3.32. Canaan has a 1 year low of $0.53 and a 1 year high of $3.27.

Canaan (NASDAQ:CAN) last issued its quarterly earnings data on Wednesday, March 26th. The company reported ($2.17) earnings per share for the quarter, missing the consensus estimate of ($0.88) by ($1.29). The business had revenue of $88.77 million during the quarter, compared to analysts’ expectations of $88.50 million. Canaan had a negative return on equity of 98.53% and a negative net margin of 93.62%. During the same quarter in the previous year, the company posted ($2.16) earnings per share. Equities research analysts anticipate that Canaan will post -0.74 earnings per share for the current fiscal year.

Canaan declared that its board has approved a stock repurchase program on Tuesday, May 27th that permits the company to buyback $0.00 in shares. This buyback authorization permits the company to purchase shares of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s leadership believes its stock is undervalued.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the company. Goldman Sachs Group Inc. boosted its holdings in Canaan by 52.0% in the first quarter. Goldman Sachs Group Inc. now owns 587,451 shares of the company’s stock valued at $516,000 after purchasing an additional 200,869 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its holdings in Canaan by 15.4% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 3,941,515 shares of the company’s stock valued at $3,460,000 after purchasing an additional 525,772 shares during the period. GMT Capital Corp purchased a new position in Canaan in the first quarter valued at $86,000. Virtu Financial LLC purchased a new position in Canaan in the first quarter valued at $320,000. Finally, Invesco Ltd. boosted its holdings in Canaan by 5,016.8% in the first quarter. Invesco Ltd. now owns 7,235,144 shares of the company’s stock valued at $6,351,000 after purchasing an additional 7,093,743 shares during the period. 70.14% of the stock is currently owned by hedge funds and other institutional investors.

Canaan Company Profile

Canaan Inc engages in the research, design, and sale of integrated circuit (IC) final mining equipment products by integrating IC products for bitcoin mining and related components in the People's Republic of China. It is also involved in the assembly and distribution of mining equipment and spare parts.