Investors seeking timely updates on their stock portfolios can turn to Simply Wall St, a platform trusted by over 7 million users. The focus here is on CleanSpark, specifically analyzing its share price and intrinsic value amidst volatile market conditions.
CleanSpark’s stock recently closed at $9.85. Over the last week, it saw a 2.3% decline, while the 30-day picture reveals a sharper downturn of 26.3%. Year-to-date, shares are down 14.7%, and over the past year, the decline stands at 6.2%. However, this decline is juxtaposed with a significant return over a three-year horizon, prompting questions about the stock’s current performance versus its long-term potential.
The context of the broader market, especially regarding bitcoin mining firms, is essential for investors. The fluctuations in CleanSpark’s stock price may reflect both short-term investor sentiment and long-term operational factors—underlining the importance of analyzing strategic insights beyond immediate metrics.
In terms of valuation, CleanSpark scored a modest 2 out of 6, indicating potential concerns regarding its overall financial health. A Discounted Cash Flow (DCF) model, which estimates a company’s value based on projected future cash flows, reveals significant challenges for CleanSpark. Over the last twelve months, the company reported a free cash flow loss of $1,423.62 million. Projections from analysts suggest a possible turnaround, with free cash flow estimated at $109 million in 2026 and $8 million in 2027. However, extending these projections to 2035 indicates fluctuating figures around zero.
The DCF analysis yields an intrinsic value of approximately $0.41 per share, indicating that the stock is currently trading much higher than this valuation—specifically, 2316.3% overvalued based on the DCF output.
In contrast, the Price-to-Sales (P/S) ratio offers a different perspective, with CleanSpark currently trading at 3.21x. While this is slightly below the software industry average of 3.60x, it is significantly lower than its peer group average of 24.10x. The Fair Ratio for CleanSpark, determined by various specific factors, stands at 3.11x, suggesting the current valuation is fairly aligned with expectations.
Although P/S ratios typically tell part of the story, Simply Wall St also emphasizes the potential for individual narratives to shape investment decisions. Investors can create a detailed profile for CleanSpark, linking company stories to revenue, earnings forecasts, and margins. This approach allows for a dynamic Fair Value that adjusts with the latest information, greatly enhancing the decision-making process.
For those captivated by CleanSpark’s narrative, engagement in the community discussion could provide valuable insights as investors share their perspectives.
Simply Wall St aims to provide a comprehensive overview based on solid data and historical trends, though it underscores that this analysis is not personal financial advice. Investors are encouraged to conduct independent research that aligns with their individual financial circumstances and objectives.
