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ARB

Argo BlockchainLSE:ARB Stock Report

Last Price

UK£0.75

Market Cap

UK£352.0m

7D

-7.2%

1Y

-3.1%

Updated

23 Jan, 2022

Data

Company Financials +
ARB fundamental analysis
Snowflake Score
Valuation6/6
Future Growth5/6
Past Performance1/6
Financial Health4/6
Dividends0/6

ARB Stock Overview

Argo Blockchain plc, together with its subsidiaries, engages in the bitcoin and other cryptocurrencies mining business worldwide.

Argo Blockchain Competitors

SBI Holdings

TSE:8473

JP¥759.5b

Galaxy Digital Holdings

TSX:GLXY

CA$5.3b

GMO Internet

TSE:9449

JP¥276.9b

Marathon Digital Holdings

NasdaqCM:MARA

US$2.3b

Price History & Performance

Summary of all time highs, changes and price drops for Argo Blockchain
Historical stock prices
Current Share PriceUK£0.75
52 Week HighUK£3.40
52 Week LowUK£0.65
Beta2.75
1 Month Change-25.55%
3 Month Change-41.25%
1 Year Change-3.09%
3 Year Change1,974.48%
5 Year Changen/a
Change since IPO501.60%

Recent News & Updates

Dec 07
Argo Blockchain (LON:ARB) Is Looking To Continue Growing Its Returns On Capital

Argo Blockchain (LON:ARB) Is Looking To Continue Growing Its Returns On Capital

If we want to find a potential multi-bagger, often there are underlying trends that can provide clues. One common...

Shareholder Returns

ARBGB SoftwareGB Market
7D-7.2%-1.2%-1.3%
1Y-3.1%0.3%7.8%

Return vs Industry: ARB underperformed the UK Software industry which returned 0.3% over the past year.

Return vs Market: ARB underperformed the UK Market which returned 7.8% over the past year.

Price Volatility

Is ARB's price volatile compared to industry and market?
ARB volatility
ARB Average Weekly Movement12.6%
Software Industry Average Movement4.6%
Market Average Movement5.0%
10% most volatile stocks in GB Market10.7%
10% least volatile stocks in GB Market2.5%

Stable Share Price: ARB is more volatile than 90% of UK stocks over the past 3 months, typically moving +/- 13% a week.

Volatility Over Time: ARB's weekly volatility has decreased from 18% to 13% over the past year, but is still higher than 75% of UK stocks.

About the Company

FoundedEmployeesCEOWebsite
20179Peter Wallhttps://www.argoblockchain.com

Argo Blockchain plc, together with its subsidiaries, engages in the bitcoin and other cryptocurrencies mining business worldwide. The company was formerly known as GoSun Blockchain Limited and changed its name to Argo Blockchain plc in December 2017. Argo Blockchain plc was incorporated in 2017 and is headquartered in London, the United Kingdom.

Argo Blockchain Fundamentals Summary

How do Argo Blockchain's earnings and revenue compare to its market cap?
ARB fundamental statistics
Market CapUK£352.00m
Earnings (TTM)UK£21.88m
Revenue (TTM)UK£54.44m

16.1x

P/E Ratio

6.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ARB income statement (TTM)
RevenueUK£54.44m
Cost of RevenueUK£10.49m
Gross ProfitUK£43.95m
ExpensesUK£22.08m
EarningsUK£21.88m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.047
Gross Margin80.73%
Net Profit Margin40.18%
Debt/Equity Ratio20.4%

How did ARB perform over the long term?

See historical performance and comparison

Valuation

Is Argo Blockchain undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ARB (£0.75) is trading below our estimate of fair value (£4.52)

Significantly Below Fair Value: ARB is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: ARB is good value based on its PE Ratio (16.1x) compared to the UK Software industry average (48.2x).

PE vs Market: ARB is good value based on its PE Ratio (16.1x) compared to the UK market (18.9x).


Price to Earnings Growth Ratio

PEG Ratio: ARB is good value based on its PEG Ratio (0.4x)


Price to Book Ratio

PB vs Industry: ARB is good value based on its PB Ratio (1.9x) compared to the GB Software industry average (4x).


Future Growth

How is Argo Blockchain forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

38.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ARB's forecast earnings growth (38.2% per year) is above the savings rate (0.9%).

Earnings vs Market: ARB's earnings (38.2% per year) are forecast to grow faster than the UK market (12.1% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: ARB's revenue (57.2% per year) is forecast to grow faster than the UK market (4.8% per year).

High Growth Revenue: ARB's revenue (57.2% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if ARB's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Argo Blockchain performed over the past 5 years?

207.1%

Last years revenue growth


Earnings and Revenue History

Quality Earnings: ARB has a high level of non-cash earnings.

Growing Profit Margin: ARB became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if ARB's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: ARB has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: ARB has become profitable in the last year, making it difficult to compare its past year earnings growth to the Software industry (15.4%).


Return on Equity

High ROE: ARB's Return on Equity (11.8%) is considered low.


Financial Health

How is Argo Blockchain's financial position?


Financial Position Analysis

Short Term Liabilities: ARB's short term assets (£170.9M) exceed its short term liabilities (£65.1M).

Long Term Liabilities: ARB's short term assets (£170.9M) exceed its long term liabilities (£6.3M).


Debt to Equity History and Analysis

Debt Level: ARB has more cash than its total debt.

Reducing Debt: Insufficient data to determine if ARB's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: ARB's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: ARB's interest payments on its debt are well covered by EBIT (53.3x coverage).


Balance Sheet


Dividend

What is Argo Blockchain current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate ARB's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate ARB's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if ARB's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ARB's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ARB's dividend in 3 years as they are not forecast to pay a notable one for the UK market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

0.4yrs

Average management tenure


CEO

Peter Wall (45 yo)

2yrs

Tenure

UK£240,922

Compensation

Mr. Peter G. Wall serves as Member of Blockchain Advisory Board at Nft Investments Plc since August 2021. He serves as Chief Executive Officer and Director since January 2020 and Interim Chairman since 29...


CEO Compensation Analysis

Compensation vs Market: Peter's total compensation ($USD326.67K) is below average for companies of similar size in the UK market ($USD814.90K).

Compensation vs Earnings: Insufficient data to compare Peter's compensation with company performance.


Leadership Team

Experienced Management: ARB's management team is not considered experienced ( 0.4 years average tenure), which suggests a new team.


Board Members

Experienced Board: ARB's board of directors are not considered experienced ( 0.5 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: ARB insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 30.3%.


Top Shareholders

Company Information

Argo Blockchain plc's employee growth, exchange listings and data sources


Key Information

  • Name: Argo Blockchain plc
  • Ticker: ARB
  • Exchange: LSE
  • Founded: 2017
  • Industry: Application Software
  • Sector: Software
  • Implied Market Cap: UK£351.998m
  • Shares outstanding: 468.08m
  • Website: https://www.argoblockchain.com

Number of Employees


Location

  • Argo Blockchain plc
  • 16 Great Queen Street
  • 9th Floor
  • London
  • Greater London
  • WC2B 5DG
  • United Kingdom

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/23 18:44
End of Day Share Price2022/01/21 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.