CLSK shares dropped 51.7% in past year, but saw 120% revenue growth due to Bitcoin surge

From Nasdaq
March 12, 2025 10:04 am:

Cleanspark (CLSK) shares have dropped 51.7% in the past year, underperforming the Finance sector by 6.2% and the Financial – Miscellaneous Services industry by 5.2%. However, the company saw 120% year-over-year revenue growth in Q1 fiscal 2025 due to Bitcoin’s price surge and improved mining efficiency.

In Q1 fiscal 2025, Cleanspark’s revenue soared with Bitcoin prices averaging $83,000 and peaking at $108,000. Operational efficiency led to a marginal cost per Bitcoin of $34,000, boosting profit margins. The company’s mining fleet efficiency reached 16.15 joules per terahash, surpassing industry standards and expanding its fleet to 39.1 exahash.

CLSK’s 2025 earnings estimate remains steady at 58 cents per share, with revenue expected to surge by 137.48%. Despite growth potential, Cleanspark’s reliance on volatile Bitcoin prices makes it a risky investment. Investors should consider waiting for a more favorable entry point due to the uncertainties associated with Bitcoin’s fluctuations.

Cleanspark, Inc. is making strides in the industry, but investors should be cautious due to the company’s dependence on Bitcoin prices. With a Zacks Rank #3 (Hold), it’s advisable to monitor market conditions before considering an investment in CLSK stock.

Read more at Nasdaq.: CLSK Plunges 52% in a Year: Should You Buy, Sell or Hold the Stock?