Find the most undervalued blockchain stocks to buy before they soar in April
The most undervalued blockchain stocks to buy in April are for those who think outside the box. While most investors are already familiar with the big-name companies, these hidden gems can offer significant upside potential, especially in the current market environment.
next Bitcoin (BTC-USD) The halving event, scheduled for near the middle of this month, is highly anticipated in the cryptocurrency world. Historically, the price of Bitcoin has increased in the months before and after a halving event.
I think these most undervalued blockchain stocks to buy in April have the potential to soar even higher than big cryptocurrencies like Bitcoin. Ethereum (ETH-USD) or anything else. That’s because blockchain stocks often have higher correlation and beta than Bitcoin itself, which can cause them to skyrocket or crater.
Even better, these blockchain stocks aren’t mainstream options, so they may be undervalued for reasons other than speculation or connections to the broader market. So here are the three most undervalued blockchain stocks to buy in April.
Iris Energy (IREN)
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iris energy (NASDAQ:Airen) is based in Australia and focuses on renewable energy for Bitcoin mining.
I predict that companies like IREN that provide the necessary power for Bitcoin miners will be in great demand over time. Bitcoin is extremely energy-intensive and may face regulatory crackdowns due to its high energy usage. IREN provides Bitcoin miners with a competitive advantage and helps limit their risks going forward.
The reason I think it’s underrated is because of its outlook. In 2024, IREN will focus on significant growth and expansion of its business. The company aims to increase its operational capacity from 5.6 EH/s to 20 EH/s by the end of the year, leveraging a 9 EH/s minor purchase option, exercisable in the second half of 2024.
This, combined with its forward P/E of 8x at the time of writing, makes it one of the undervalued blockchain stocks to buy in April.
Crypto mining (CIFR)
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crypto mining (NASDAQ:CIFR) operates a cryptocurrency mining data center in the United States and is notable for its large Bitcoin mining output.
I think smaller companies like CIFR will have an advantage over the big miners because investor money is flowing to names like: riot platform (NASDAQ:riot), the valuation is more expensive because the production volume is relatively high.
That said, in January, CIFR announced a major expansion of its Bear and Chief joint venture data centers and announced that it plans to bring in 16,700 new miners. canaan. This expansion is expected to increase CIFR’s mining capacity by approximately 2.5 EH/s, contributing to an increase of approximately 1.25 EH/s at each facility.
CIFR also reported significant progress toward fiscal 2023, with fourth quarter GAAP revenue of $10.6 million, non-GAAP revenue of $27.8 million, and full-year revenue of $126.8 million. We are reporting progress.
The company’s negative P/E ratio means it is significantly cheaper than its larger peers.
Clean Spark (CLSK)
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clean spark (NASDAQ:CLSK) is known for its Bitcoin mining capabilities, which boast the highest mining rates in the industry.
Another way to look at investing in Bitcoin miners is that they can leverage their vast scale in production and output. This is especially important because a halving event will reduce overall profitability over time unless the value of Bitcoin increases proportionately. I think you can guess that CLSK’s hashrate is better than others and is undervalued.
CLSK is actively expanding its mining capacity for the future. The company announced acquisitions and expansions aimed at significantly increasing its operational hashrate. With these strategic moves, CLSK’s total operating hashrate is expected to increase to 20 EH/s in the first half of 2024, double the current operating hashrate of 10 EH/s. Furthermore, these acquisitions, together with the strategic agreement to purchase up to 160,000 of his S21 miners, pave the way for CLSK to potentially reach his 50 EH/s hashrate.
On the date of publication, Matthew Farley did not have (directly or indirectly) any positions in the securities mentioned in this article. Opinions expressed are those of the author and are subject to InvestorPlace.com Publishing Guidelines.
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