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CAN: Tether Immersion Mining Partnership Will Support Future Upside Potential

Sustainable Mining Operations And North American Expansion Will Drive Industry Resilience

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CAN
AnalystConsensusTarget
Not Invested
Published 25 Apr 2025
25 viewsusers have viewed this narrative update

Update shared on 30 Apr 2026

Previous
30 Apr
US$0.36
AnalystConsensusTarget's Fair Value
US$2.05
82.5% undervalued intrinsic discount
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1Y
-40.2%
7D
-13.4%

Analysts have kept their Canaan price target steady at $2.05, citing largely unchanged assumptions around the discount rate, revenue growth, profit margin, and future P/E. Together, these factors suggest a similar risk and return profile to prior views.

What's in the News

  • Canaan secured a follow-on order from Tether for custom high-density mining hash board modules that support next-generation immersion-cooled mining and compute systems, building on a proof-of-concept project completed in 2025 with Tether and ACME Swisstech (Key Developments).
  • The new modules are part of Canaan's modular mining and compute hardware platform built around its ASIC chips, designed for flexible integration into partner systems, particularly immersion-cooled deployments (Key Developments).
  • The Tether-affiliated deployment in South America uses an ACME Swisstech system that integrates Canaan's platform to create self-contained mining units with system-level integration. The deployment aims for simplified infrastructure and operations, optimized thermal management, dynamic hash rate control, and higher compute density (Key Developments).
  • The agreement with Tether includes an option for additional module purchases in later phases, tied to potential expansion as deployments scale (Key Developments).
  • Canaan reported unaudited monthly production results for 2026 so far, with Bitcoins mined of 83 in January, 86 in February, and 89 in March, along with first quarter 2026 revenue guidance of US$60 million to US$70 million (Key Developments).

Valuation Changes

  • Fair Value: Steady at $2.05, indicating no change in the central valuation estimate.
  • Discount Rate: Risen slightly from 8.423698% to 8.43209284543273%, reflecting a very small adjustment in the assumed risk profile.
  • Revenue Growth: Essentially unchanged at 29.352197% compared with 29.352196621179914%, implying the same top line growth assumption.
  • Net Profit Margin: Stable at 5.59214% versus 5.592139965569027%, so the profitability outlook is effectively the same.
  • Future P/E: Risen slightly from 33.051353x to 33.3036100413582x, pointing to a marginally higher valuation multiple in the model.

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Disclaimer

AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.