Bitfarms Ltd. (BITF) May Report Negative Earnings: Know the Trend Ahead of Q4 Release

Core Viewpoint - Bitfarms Ltd. (BITF) is anticipated to report a year-over-year increase in earnings driven by higher revenues for the quarter ended December 2024, with actual results being a significant factor influencing its near-term stock price [1][2]. Financial Expectations - The consensus estimate indicates a quarterly loss of $0.04 per share, reflecting a year-over-year improvement of +33.3$53.82 million, representing a 16.4% increase from the same quarter last year [3]. - The consensus EPS estimate has been revised 16.67% higher in the last 30 days, indicating a reassessment by analysts regarding the company's earnings outlook [4]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that the Most Accurate Estimate for Bitfarms is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -25%, indicating a bearish sentiment among analysts [10][11]. - Despite the negative Earnings ESP, the stock holds a Zacks Rank of 3, complicating predictions of an earnings beat [11]. Historical Performance - In the previous quarter, Bitfarms was expected to report a loss of $0.12 per share but achieved a loss of$0.09, resulting in a positive surprise of +25%. Over the last four quarters, the company has exceeded consensus EPS estimates three times [12][13]. Conclusion - While Bitfarms does not appear to be a strong candidate for an earnings beat, investors are advised to consider other factors when making decisions regarding the stock ahead of its earnings release [16].