CAN Stock Alert: Why Is Bitcoin Mining Play Canaan Surging Today?

Canaan (NASDAQ:CAN) stock is rising higher Thursday following the release of the Bitcoin (BTC-USD) mining rig company’s fourth-quarter 2021 earnings report.

Concept art of crypto mining with little figuring and a Bitcoin (BTC) token representing CAN stock.

Source: Shutterstock

Let’s start off with the company’s adjusted earnings per American Depositary Share (ADS) of 6.81 yuan. That’s an improvement over the company’s losses per share of .46 yuan from the same period of the year prior.

Next up we have to discuss Canaan’s revenue of $2.18 billion yuan. That’s a significant increase over the 38.2 million yuan reported by the company during the fourth quarter of 2020.

James Jin Cheng, CFO of Canaan, had the following to say about the company’s most recent earnings report.

“As of the end of 2021, we had garnered contract advances of RMB1,340.7 million, ensuring stable revenue streams for the quarters to come and delivering further cash flows to expand our supply capabilities. Going forward, we will mitigate the negative effects from fluctuations in the Bitcoin price, geopolitical volatility, and regulatory uncertainties by staying vigilant and agile in our operations.”

The strong earnings report from Canaan also has shares of CAN stock seeing heavy trading today. As of this writing, more than 14 million shares of the company’s stock have changed hands. That’s quite the leap over its daily average trading volume of about 3.4 million shares.

CAN stock is up 14.8% as of Thursday morning.

Investors seeking more stock market news will want to stick around!

We’ve got all the hottest stock market coverage that traders need to know about for Thursday! A few examples include the latest earnings and analyst takes for ChargePoint (NYSE:CHPT) stock, Best Buy (NYSE:BBY) stock, and Okta (NASDAQ:OKTA) stock. You can find out all about these matters at the links below!

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On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

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