Company Performance - Bitfarms Ltd. (BITF) closed at $3.12, reflecting a -2.5% change from the previous day's closing price, underperforming compared to the S&P 500's daily gain of 0.49% [1] - Over the prior period, Bitfarms shares increased by 160.16%, significantly surpassing the Business Services sector's gain of 1.84% and the S&P 500's gain of 2.99% [1] Financial Projections - The upcoming financial results for Bitfarms are anticipated to show an EPS of -$0.02, indicating a 77.78% growth compared to the same quarter last year [2] - Revenue is projected to be $84.47 million, reflecting an 88.34% increase from the equivalent quarter last year [2] - Full-year estimates suggest earnings of -$0.13 per share and revenue of $321.13 million, representing year-over-year changes of +7.14% and +66.49%, respectively [3] Analyst Insights - Recent revisions to analyst forecasts for Bitfarms are important as they reflect short-term business trends, with positive revisions indicating a favorable business outlook [4] - Empirical research shows a direct correlation between estimate revisions and stock price performance, which is utilized in the Zacks Rank model to provide actionable ratings [5] Zacks Rank and Industry Position - The Zacks Rank system, which ranges from 1 (Strong Buy) to 5 (Strong Sell), has a strong track record, with stocks rated 1 producing an average annual return of +25% since 1988 [6] - Bitfarms currently holds a Zacks Rank of 4 (Sell) [6] - The Technology Services industry, part of the Business Services sector, ranks in the top 36% of all industries according to the Zacks Industry Rank [7]

Core Thesis - Bitfarms Ltd. is transitioning from traditional Bitcoin mining to AI and high-performance computing (HPC) infrastructure, presenting a speculative but potentially high-reward investment opportunity [2][4]. Financial Performance - Bitfarms has historically achieved nearly 50% margins per Bitcoin, with direct costs of $48.2k and revenues of $98k per Bitcoin [2]. - The company is well-capitalized with $230 million in liquidity and $300 million in dedicated infrastructure financing, alongside consistent free cash flow of approximately $8 million monthly [4]. Infrastructure Development - The Panther Creek data center campus in Pennsylvania will have a capacity of 350–410 MW by 2027, supported by low-cost energy sources and favorable permitting [3]. - Bitfarms is expanding its presence with additional land in Moses Lake, Washington, which is part of the largest West Coast data center cluster [3]. Valuation Metrics - Bitfarms is trading at 2.9x TEV/Revenue LTM and 1.65x TEV/Revenue NTM, which is significantly lower than peers like CoreWeave, CLSK, and IREN [5]. - The company’s strategic pivot and operational success present a unique combination of high-risk and high-reward investment potential [5].

Core Insights - Bitcoin mining stocks experienced exceptional momentum in September 2025, with major players posting gains between 44% and 138%, while Bitcoin itself declined over 3% during the same period [2] Group 1: Bitfarms Performance - Bitfarms stock reached a one-year high of $3.20 on September 18, marking ten consecutive days of gains and more than doubling in value over the past week [3] - The stock gained more than 132% from its monthly opening price of $1.34 to around $3.18, with a market capitalization rising to approximately $1.769 billion, representing a more than 94% increase from the end of 2024 [4] - The company sold a BTC mining site in Paraguay to Hive Digital and reported selling 1,052 BTC in August 2025, indicating a substantial amount of liquid assets [5] Group 2: Cipher Mining Performance - Cipher Mining advanced approximately 40% in September, reaching new 52-week highs at $12.66, with shares delivering an impressive 313% return over the past six months [6] - The stock closed at $11.85 with a market capitalization of $4.66 billion, reflecting strong institutional interest in its dual mining and high-performance computing strategy [7] - Cipher Mining presented an operational update on September 4, announcing the addition of new production capacity and maintaining market expectations for a significant deal by the end of 2025, likely related to Bitcoin mining or a pivot to AI [8]

Core Insights - The launch of spot bitcoin ETFs has shifted focus away from crypto equity ETFs, but the latter still present a viable investment case, particularly in crypto mining [1][2] - Crypto mining equities provide an alternative investment route to express a bitcoin view without direct ownership, similar to gold mining equities [2][5] - Investors in mining companies must conduct due diligence on various business aspects, including electricity contracts and management discipline, which offers more concrete metrics compared to direct bitcoin ownership [3][4] Investment Characteristics - Mining stocks can exhibit higher volatility than bitcoin itself and are sensitive to electricity prices and capital requirements [4][6] - Mining revenue is more directly correlated with bitcoin prices, making it a more focused investment compared to broader blockchain themes [5][6] - Public miners are primarily classified within the technology sector, while broader blockchain investments may have exposure to financials and other sectors [6] Intersection with AI - Crypto miners are increasingly leveraging their resources for AI and high-performance computing, creating new revenue streams and enhancing cash flow opportunities [7] ETF Strategies - There are two main crypto mining ETFs: the CoinShares Bitcoin Mining ETF (WGMI) and the Grayscale Bitcoin Miners ETF (MNRS), each with distinct management strategies [8][9] - WGMI is actively managed with a focus on companies deriving significant revenue from bitcoin mining, while MNRS is passively managed and tracks a specific index [9][11] - WGMI has shown strong performance, up 68% year-to-date, while MNRS has a smaller asset base of around $7 million [10][11] Market Dynamics - Other crypto mining ETFs have closed in 2023, indicating a competitive and evolving market landscape [14] - Broader blockchain ETFs also provide significant exposure to mining companies, allowing for diversification while maintaining a focus on miners [15][16] Conclusion - Crypto mining equities offer a measurable way to express a bitcoin view within traditional portfolios, with miner-focused ETFs like WGMI and MNRS providing distinct investment options [17]

Group 1 - Bitfarms (BITF) stock has achieved a six-day winning streak, resulting in a total gain of 126% during this period, with its current valuation around $1.6 billion [2] - The stock price of Bitfarms is currently 94% higher than its closing value at the end of 2024, contrasting with a year-to-date return of 12.3% for the S&P 500 [2] - Positive investor sentiment is noted for Bitcoin miners, with significant stock price increases for companies like Iris Energy, CleanSpark, and Marathon Digital, driven by expectations of U.S. Federal Reserve interest rate cuts [3] Group 2 - Bitfarms provides cryptocurrency mining services through server farms in North America, validating Bitcoin transactions, and also offers electrical services to commercial and residential clients in Quebec, Canada [4] - A comparison of BITF stock returns with the S&P 500 index indicates that momentum in stock performance can signal increasing investor confidence, which may lead to further buying opportunities [5] - Currently, 23 S&P 500 constituents have experienced three or more consecutive days of gains, while 139 constituents have faced three or more consecutive days of losses [6]

Core Viewpoint - Bitfarms stock price has experienced a significant increase, reaching a high of $2.90, marking its highest level since July of the previous year and a 350% rise from its lowest point this year [1] Company Summary - The stock price surge indicates strong market interest and potential investor confidence in Bitfarms, reflecting a broader trend in the cryptocurrency mining sector [1]

Core Insights - The article serves as a follow-up on Bitfarms Ltd. (NASDAQ: BITF) (TSX: BITF:CA) since the last coverage in May, indicating ongoing interest in the company's developments [1] Company Overview - Bitfarms is involved in cryptocurrency mining and has been strategically resetting its operations as noted in the previous article titled "Bitfarms: Q1 Was A Strategic Reset" [1] Analyst Background - The author has a strong background in cryptocurrency, having been an enthusiast and trader since 2017, with expertise in distributed ledger technology and crypto investment strategies [1]

Group 1 - Cryptocurrency and stablecoin stocks have declined, with Bitfarms dropping over 6%, Robinhood falling more than 5%, and Circle and Canaan Technology decreasing over 4% [1] - Riot Platforms, Bullish, and Trump Media Technology Group have all seen declines of more than 3.5% [1] - The market is currently focused on the Jackson Hole Federal Reserve annual meeting, leading investors to withdraw from technology stocks and high-risk assets [1]

Core Viewpoint - Bitfarms Ltd. has appointed Wayne Duso to its Board of Directors, which now consists of seven members, six of whom are independent, marking a strategic move to enhance its capabilities in the HPC/AI sector [1][5]. Company Overview - Bitfarms is a North American energy and digital infrastructure company focused on building and operating data centers and energy infrastructure for high-performance computing and Bitcoin mining [6][7]. - The company has a robust energy pipeline of 1.3 GW, with over 80% of this capacity based in the U.S., strategically located in areas with strong access to power and fiber infrastructure [6]. Appointment of Wayne Duso - Wayne Duso brings over 25 years of experience in enterprise technologies, particularly in cloud storage systems for large-scale data centers, which is crucial for managing data for AI training and hybrid cloud environments [2][3]. - Duso's previous role at Amazon Web Services involved scaling operations significantly, launching multiple unicorn businesses, and achieving over $1 billion in annual recurring revenue [3]. - His educational background includes a B.S. in Computer Science and an M.S. in Systems Engineering, along with executive education from prestigious institutions [4]. Strategic Importance - The appointment of Duso is seen as timely for Bitfarms as it aims to accelerate its HPC/AI business development across North America [5]. - Duso expressed enthusiasm about joining Bitfarms, highlighting the company's strategic pivot towards HPC/AI and its substantial energy capacity, which aligns with the needs of hyperscalers [5].

Company Strategy - Bitfarms is looking to redomicile in the US [1] Financial Performance - Bitfarms' revenue jumps 87% year-over-year [1]