Miner Valuation Chart - UPDATED 2021.11.08 [ $CIFR, $HUT, $MARA, $RIOT, etc]

Continuing to update weekly as this sector is experiencing an incredible bull run. Now rank-ordered to highlight the most under-valued companies (higher on the list = more under-valued). ​ if there are any numbers that look off, post a source and I will update. these projections change frequently INTERPRETING THE CHART Lower values on the EV / (EH/s) metrics implies the company is under-valued and there is opportunity for it to increase in value. The more extreme the discrepancy, the greater potential for a price increase. For example, if a company is trading at 1/3 the Average EV / (EH/s) that would imply the possibility for a 3x increase in price – assuming valuations became normalized on that metrics. ​ UNDERSTANDING MINER VALUATION Valuing miners on a relative basis comes down to 4 things: (a) How much they can mine (b) How expensive it costs them to mine (c) Expected growth in mining capability And lastly… (d) How much the company is currently valued at Put succinctly, if you can find some that currently is and will be producing large amounts for RELATIVELY a relatively low cost for the company – then that is an opportunity for growth. Production capacity is measured by hash rate. In this case EH/s or Exahash per second. The primary determinant of cost is electricity. And the value of a company is enterprise value (not share price, not market cap). So when we normalize on these by calculating EV / (EH/s) – this should pretty clearly flag the appealing stocks in this sector. The results speak for themselves.

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joeskunk

Nov 8, 2021

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Miner Valuation Chart - UPDATED 2021.11.08 [ $CIFR, $HUT, $MARA, $RIOT, etc]

bullish

Continuing to update weekly as this sector is experiencing an incredible bull run.

Now rank-ordered to highlight the most under-valued companies (higher on the list = more under-valued).

if there are any numbers that look off, post a source and I will update. these projections change frequently

INTERPRETING THE CHART

Lower values on the EV / (EH/s) metrics implies the company is under-valued and there is opportunity for it to increase in value. The more extreme the discrepancy, the greater potential for a price increase.

For example, if a company is trading at 1/3 the Average EV / (EH/s) that would imply the possibility for a 3x increase in price – assuming valuations became normalized on that metrics.

UNDERSTANDING MINER VALUATION

Valuing miners on a relative basis comes down to 4 things:

(a) How much they can mine

(b) How expensive it costs them to mine

(c) Expected growth in mining capability

And lastly…

(d) How much the company is currently valued at

Put succinctly, if you can find some that currently is and will be producing large amounts for RELATIVELY a relatively low cost for the company – then that is an opportunity for growth. Production capacity is measured by hash rate. In this case EH/s or Exahash per second. The primary determinant of cost is electricity. And the value of a company is enterprise value (not share price, not market cap).

So when we normalize on these by calculating EV / (EH/s) – this should pretty clearly flag the appealing stocks in this sector. The results speak for themselves.

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read-time
1 min

15.00

Target Price

9/ 10

Confidence

2-6 Months

Timeframe
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