Core Viewpoint - Cipher Mining Inc. has experienced a significant decline in stock price, reaching a 52-week low of $2.55, with a year-over-year drop of 51.50% and a year-to-date decline of 46.48% [1][2] Group 1: Stock Performance - The stock has plunged nearly 35% in the past month, indicating a strong bearish trend [1] - Cipher Mining is trading below all major moving averages, reinforcing the downward momentum [1] - The Moving Average Convergence Divergence (MACD) indicator is at a negative 0.53, confirming the bearish trend [1] Group 2: Technical Indicators - The Relative Strength Index (RSI) is at 31.94, suggesting that the stock is approaching oversold territory, but this alone does not indicate a rebound [1] - Key moving averages are all bearish: the eight-day at $2.99, the 20-day at $3.35, the 50-day at $4.59, and the 200-day at $4.83 [3] Group 3: Investor Implications - The stock has broken through key support levels, indicating a high risk of further downside [2] - A short-term bounce is possible due to the nearly oversold RSI, but a meaningful recovery would require reclaiming the 20-day moving average of $3.40 [2] - Investors may want to wait for signs of stabilization before considering an entry point [2]

Company Performance - Cipher Mining Inc. closed at $3, reflecting a -1.96% change from the previous day, underperforming the S&P 500's loss of 0.22% [1] - Over the past month, shares of Cipher Mining have decreased by 49.17%, significantly lagging behind the Business Services sector's loss of 10.46% and the S&P 500's loss of 7.48% [1] Financial Forecast - The upcoming financial results for Cipher Mining are expected to show an EPS of -$0.11, indicating a 184.62% decline compared to the same quarter last year [2] - The Zacks Consensus Estimate projects net sales of $49.65 million, which is a 3.13% increase from the previous year [2] - For the entire fiscal year, earnings are forecasted at -$0.38 per share, representing a -171.43% change, while revenue is expected to be $276.02 million, reflecting an 82.47% increase from the prior year [3] Analyst Projections - Recent shifts in analyst projections for Cipher Mining should be monitored, as they often indicate changes in short-term business trends [4] - Upward revisions in estimates suggest analysts' positive outlook on the company's operations and profit generation capabilities [4] Zacks Rank and Industry Position - The Zacks Rank system, which ranges from 1 (Strong Buy) to 5 (Strong Sell), currently places Cipher Mining at a 3 (Hold) rating, with a significant downward shift of 92.31% in the EPS estimate over the past month [6] - The Technology Services industry, part of the Business Services sector, holds a Zacks Industry Rank of 68, placing it in the top 28% of over 250 industries [7]

Core Viewpoint - The article discusses the reliability of brokerage recommendations, particularly focusing on Cipher Mining Inc. (CIFR), and emphasizes the importance of using these recommendations in conjunction with other analytical tools like the Zacks Rank for making informed investment decisions [1][4]. Group 1: Brokerage Recommendations - Cipher Mining has an average brokerage recommendation (ABR) of 1.20, indicating a consensus between Strong Buy and Buy, with 80% of recommendations being Strong Buy and 20% being Buy [2]. - The article highlights that brokerage recommendations may not always be reliable due to potential biases stemming from the vested interests of brokerage firms [5][9]. Group 2: Zacks Rank vs. ABR - The Zacks Rank is presented as a more effective tool for predicting stock price movements, based on earnings estimate revisions, and is categorized from Zacks Rank 1 (Strong Buy) to Zacks Rank 5 (Strong Sell) [7][10]. - The Zacks Rank is updated more frequently than the ABR, making it a timely indicator of future price movements [11]. Group 3: Earnings Estimates for Cipher Mining - The Zacks Consensus Estimate for Cipher Mining has increased by 17.5% over the past month to -$0.17, reflecting analysts' growing optimism about the company's earnings prospects [12]. - The recent change in consensus estimates, along with other factors, has resulted in a Zacks Rank 1 (Strong Buy) for Cipher Mining, suggesting a positive outlook for the stock [13].

Core Insights - Cipher Mining Inc. reported strong production metrics for February 2025, with a total of approximately 180 BTC mined and 235 BTC sold, resulting in a month-end balance of around 1,032 BTC held [2][4]. Production and Operations Summary - The company deployed 75,000 mining rigs and achieved a month-end operating hashrate of 13.5 EH/s, with a fleet efficiency of 18.9 J/TH [2]. - Power sales estimates for February were equivalent to 4 BTC, based on a month-end bitcoin price of $86,154, along with 24 BTC mined at joint venture data centers [2][11]. - Approximately 394 BTC were pledged as collateral [11]. Management Commentary - Management highlighted the successful completion of a planned shutdown for high-voltage electrical maintenance at the Odessa site, which contributed to the strong production results [3].

Cryptocurrencies that are created and stored electronically on blockchain technology offer a decentralized payment system. The world’s most popular cryptocurrency, Bitcoin, and other cryptocurrencies like Ether are powered by the blockchain technology, which comprises complex cryptography and software that creates an immutable and decentralized database. The system offers enhanced security for users, as it maintains a tamper-resistant record of transactions and keeps track of the owner.Blockchain’s safety a ...

Core Insights - Cipher Mining Inc. is actively participating in several industry conferences to discuss its growth strategy and opportunities in bitcoin mining and high-performance computing (HPC) [1][2][3] Event Details - Cipher will be featured at the following conferences: - Morgan Stanley Energy & Power Conference on March 4, 2025 - Morgan Stanley Technology, Media & Telecom Conference on March 6, 2025 - 2025 Cantor Fitzgerald Global Technology Conference on March 12, 2025 [2] Company Overview - Cipher focuses on the development and operation of industrial-scale data centers specifically for bitcoin mining and HPC hosting, aiming to lead in innovation within these sectors [3] Investor Relations - Cipher maintains a dedicated investor website where financial and important information is routinely posted, and investors can sign up for email alerts [4]

Cipher Mining (NASDAQ:CIFR) Q4 2024 Earnings Conference Call February 25, 2024 8:00 AM ET Company Participants Courtney Knight - Head, IR Tyler Page - CEO Edward Farrell - CFO Conference Call Participants John Todaro - Needham & Co. Logan Hennen - Northland Capital Markets Charlie Peguero - JPMorgan Bill Papanastasiou - KBW Operator Good day and welcome to Cipher Mining Fourth Quarter and Full Year 2024 Business Update Call. At this time, all participants are in a listen-only mode. After the speakers’ prese ...

Presentation for Business Update FEBRUARY 25, 2025 Forward-Looking Statements This communication contains certain forward-looking statements within the meaning of the federal securities laws of the United States. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and includes this statement for purposes of complying with these safe harbor provisions. Any statements ma ...

Company Performance - Cipher Mining Inc. reported quarterly earnings of $0.06 per share, exceeding the Zacks Consensus Estimate of a loss of $0.10 per share, and showing an increase from earnings of $0.05 per share a year ago, representing an earnings surprise of 160% [1] - The company posted revenues of $42.22 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 7.77%, although this is a decrease from year-ago revenues of $43.42 million [2] - Over the last four quarters, Cipher Mining has surpassed consensus EPS estimates two times and topped consensus revenue estimates just once [2] Stock Outlook - The stock has gained approximately 7% since the beginning of the year, outperforming the S&P 500's gain of 1.7% [3] - The current consensus EPS estimate for the upcoming quarter is -$0.07 on revenues of $46.04 million, and for the current fiscal year, it is -$0.20 on revenues of $284.7 million [7] - The estimate revisions trend for Cipher Mining is currently favorable, leading to a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [6] Industry Context - The Technology Services industry, to which Cipher Mining belongs, is currently in the top 31% of over 250 Zacks industries, suggesting a positive outlook for stocks within this sector [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Operations and Facilities - The company operates approximately 327 MW of facilities across four bitcoin mining data centers in Texas, with a pipeline of approximately 2.8 GW across seven additional sites[26]. - As of January 31, 2025, the company has an aggregate hashrate capacity of approximately 15.7 EH/s, with plans to deploy an additional 150 MW for a total of approximately 477 MW by the end of 2025, targeting a hashrate of at least 25.2 EH/s[27]. - The Odessa Facility, the largest operational data center, has a capacity of 207 MW and is capable of producing approximately 11.3 EH/s of hashrate capacity[28]. - The Alborz Facility has a capacity of 40 MW and is powered solely by a nearby wind farm, with a hashrate of approximately 1.3 EH/s, of which the company owns approximately 0.64 EH/s[30]. - The Bear and Chief Facilities were expanded from 10 MW to 40 MW in 2024, each capable of hashing at a rate of approximately 1.6 EH/s, with potential expansions up to 115 MW[33][35]. - The Black Pearl Facility is expected to energize a 300 MW substation in Q2 2025, with an initial bitcoin mining capacity of up to 150 MW[37]. - The company has acquired the right to purchase three additional sites in Texas, each with a targeted capacity of up to 500 MW, to be exercised within the next 24 months[41]. - As of January 31, 2025, the company has deployed approximately 327 MW of electrical capacity across four data centers, achieving a hashrate of approximately 15.7 EH/s, with plans to increase total capacity to approximately 477 MW and a hashrate of at least 25.2 EH/s by the end of 2025[68]. Revenue and Business Model - The company derives revenue from mining bitcoin, contributing computing power to mining pools in exchange for block rewards and transaction fees[51]. - The company utilizes third-party mining pools to mine bitcoin, sending its hashrate to these pools in exchange for a share of the bitcoin mined[76]. - The company's business model requires that the costs of bitcoin mining remain lower than the price of bitcoin for operations to be viable[112]. - The company's revenue is highly dependent on the volatile nature of bitcoin and the broader cryptocurrency ecosystem, leading to significant fluctuations in operating results[200][201]. Regulatory Environment - The regulatory environment for blockchain and cryptocurrency businesses is evolving, with potential new laws and regulations from the SEC and CFTC impacting operations[82]. - In 2025, Texas legislation introduced minimum transmission rates for large loads to support grid reliability, which may increase operational costs for data centers[82]. - The establishment of a new working group within the National Economic Council may lead to significant changes in the regulatory framework for digital assets[82]. - Government scrutiny regarding the energy consumption of bitcoin mining is increasing, with proposed legislation requiring analysis of energy usage and emissions[115]. - The company is committed to maintaining proactive regulatory compliance, monitoring legislative developments, and engaging with stakeholders to align its practices with the evolving regulatory framework[81]. - The evolving regulatory landscape may introduce compliance challenges that could materially affect the company's operations and profitability[174]. - Increased regulation may lead to higher compliance costs for the company, impacting its operations and financial results[173]. - The company may incur significant compliance costs if deemed a "money services business" under FinCEN regulations, which could negatively affect its business[183]. - The CFTC classifies bitcoin as a commodity, and any regulatory changes could impose additional compliance obligations and costs on the company[186]. - If the company is deemed a "commodity pool operator," it may face increased expenses and regulatory scrutiny, adversely impacting shareholder investments[188]. - Future regulatory developments could significantly restrict the market for bitcoin, impacting the company's business model and financial condition[177]. - The company intends to maintain its operations to avoid being classified as an investment company under the Investment Company Act of 1940[178]. - The company is subject to compliance with OFAC sanctions, which may increase operational costs and affect transaction fees due to the pseudonymous nature of blockchain transactions[193]. Market and Competitive Landscape - The company operates in a highly competitive cryptocurrency industry, facing challenges from competitors with greater financial resources and less regulatory oversight[157]. - The global network hashrate is increasing, necessitating the acquisition of new miners to remain competitive in bitcoin mining[97]. - The company faces risks related to the volatility of the digital asset markets, including potential financing risks and legal proceedings[102]. - The company may experience increased mining costs that could exceed mining revenues, adversely impacting profitability[160]. - The emergence of alternative digital assets and central bank digital currencies (CBDCs) could negatively impact the price of bitcoin, affecting the company's business[169]. - The company anticipates potential increases in mergers and acquisitions (M&A) activity within the industry due to regulatory changes and market dynamics[158]. Operational Risks - The company may experience operational impacts due to extreme weather conditions affecting energy prices and mining efficiency[86]. - The company is exposed to severe weather conditions and natural disasters in Texas, which could disrupt operations and adversely affect financial results[125]. - The company faces potential delays in operations due to new regulatory processes implemented by ERCOT, affecting the energization of facilities[114]. - The company is particularly vulnerable to supply chain disruptions for critical materials like neon gas and palladium, which are essential for semiconductor manufacturing[108]. - Increased tariffs and trade restrictions on imported miners could lead to higher costs and delays in obtaining necessary equipment[106]. - The company relies on third-party electric utility providers and manufacturers for critical equipment, which may be subject to price fluctuations and shortages[120]. - The company may need to raise additional capital for expansion or technological advancements, which may not be available on favorable terms[163]. - The company faces challenges in attracting and retaining qualified personnel in the competitive cryptocurrency industry, which could hinder its growth prospects[140]. - The company’s growth depends significantly on the skills and services of its management team, and the loss of key personnel could adversely affect its business[138]. Cybersecurity and Data Risks - Cybersecurity threats pose significant risks, with potential impacts on operations and the security of digital assets[129]. - The company has not experienced a material cybersecurity incident to date, but acknowledges the potential for future incidents that could harm its reputation and financial condition[132]. - The company does not currently hold cybersecurity insurance, which could result in unrecoverable costs in the event of a cybersecurity incident[137]. - The company relies on custodians for bitcoin storage, primarily using Coinbase Prime, Anchorage Digital Bank N.A., and Fidelity Digital Assets Services, but faces risks related to potential bankruptcy of these custodians[135]. - The company’s bitcoin assets are subject to cybersecurity risks, and there may be inadequate recovery options if assets are lost or stolen[164]. - The company faces risks related to the inadvertent disclosure of confidential information, which could adversely affect its reputation and financial condition[156]. - The company relies on third-party service providers for IT systems, which poses risks of security breaches that could disrupt operations and affect financial performance[155]. Environmental and Compliance Risks - The company faces potential adverse effects on its brand and financial position due to changing environmental regulations impacting high energy-demand industries like bitcoin mining and HPC[190]. - Increased climate change regulations could lead to significantly higher energy costs, potentially putting the company's facilities at a competitive disadvantage[191]. - The company cannot predict the financial impact of future climate change legislation, which may harm its reputation and operational performance[192]. - Unanticipated changes in effective tax rates or adverse outcomes from tax audits could negatively impact the company's financial condition[194][195]. - The evolving treatment of digital assets for tax purposes introduces uncertainty that could adversely affect the company's business operations[196][198]. Bitcoin Market Dynamics - The market price of bitcoin ranged from approximately $38,501 to $108,389 during the fiscal year ended December 31, 2024, and from $16,490 to $45,000 during the fiscal year ended December 31, 2023, indicating significant volatility in bitcoin prices[133]. - A decline in the acceptance of cryptocurrencies could materially adversely affect the value of bitcoin and the company's business prospects[211]. - Ownership of bitcoin is pseudonymous, and significant holders may engage in large-scale sales that could negatively impact the cryptocurrency market and the company's stock price[212]. - The acceptance of cryptocurrencies, particularly bitcoin, in retail and commercial markets remains limited, contributing to price volatility[210]. Bitcoin Network and Development Risks - The Bitcoin network operates on an open-source protocol maintained by a small group of contributors, who are generally not compensated for their work[214]. - There is no guarantee that developer support for the Bitcoin network will continue or be sufficient, which could adversely affect the company's business[216]. - A hard fork in the Bitcoin blockchain could lead to competing implementations, potentially reducing the perceived value of bitcoin[218]. - The creation of forks, such as Bitcoin Cash, can affect the price of bitcoin and introduce new security risks[219]. - A hard fork may decrease the level of security and make the network more susceptible to attacks due to potential concentration of hashing power[222]. - Replay attacks and other security issues have occurred in past forks, leading to significant losses for exchanges[221]. - The value of bitcoin post-fork is influenced by various factors, including market reaction and the value of newly created digital assets[220].