Bitfarms .(US:BITF) ZACKSยท2025-06-26 14:31Core Viewpoint - The average brokerage recommendation (ABR) for Bitfarms Ltd. (BITF) is 1.13, indicating a strong buy sentiment from analysts [2]. Brokerage Recommendations - Bitfarms has an ABR of 1.13, which is derived from eight brokerage firms, with seven recommendations classified as Strong Buy and one as Buy, representing 87.5% and 12.5% of total recommendations respectively [2]. - Despite the strong buy recommendations, reliance solely on brokerage ratings for investment decisions may not be prudent, as studies indicate limited success in guiding investors towards stocks with the best price increase potential [5]. Analyst Bias and Reliability - Analysts from brokerage firms tend to exhibit a strong positive bias in their ratings, with five "Strong Buy" recommendations for every "Strong Sell" [6]. - The interests of brokerage firms may not align with those of retail investors, leading to potential misguidance regarding future stock price movements [7][10]. Zacks Rank vs. ABR - The Zacks Rank is a proprietary stock rating tool that classifies stocks into five groups based on earnings estimate revisions, providing a more reliable indicator of near-term price performance compared to ABR [8][11]. - The Zacks Rank is updated more frequently than ABR, reflecting timely changes in analysts' earnings estimates, which correlates strongly with stock price movements [12]. Current Earnings Estimates for Bitfarms - The Zacks Consensus Estimate for Bitfarms remains unchanged at -$0.12 for the current year, suggesting steady analyst views on the company's earnings prospects [13]. - Due to the unchanged consensus estimate and other factors, Bitfarms holds a Zacks Rank of 3 (Hold), indicating a cautious approach despite the positive ABR [14].