Traders Purchase Large Volume of Canaan Call Options (NASDAQ:CAN)

Canaan Inc. Sponsored ADR (NASDAQ:CAN) was the recipient of some unusual options trading activity on Tuesday. Stock investors purchased 29,607 call options on the stock. This represents an increase of 52% compared to the average volume of 19,489 call options.

Canaan Stock Down 14.6%

Shares of CAN opened at $1.11 on Wednesday. Canaan has a 52 week low of $0.53 and a 52 week high of $3.27. The firm has a market cap of $413.92 million, a P/E ratio of -1.23 and a beta of 3.61. The firm’s 50-day simple moving average is $1.14 and its 200 day simple moving average is $0.86. The company has a debt-to-equity ratio of 0.07, a quick ratio of 1.32 and a current ratio of 1.78.

Canaan (NASDAQ:CAN) last announced its quarterly earnings results on Thursday, August 14th. The company reported ($0.03) EPS for the quarter, beating analysts’ consensus estimates of ($0.13) by $0.10. Canaan had a negative net margin of 77.01% and a negative return on equity of 92.49%. The business had revenue of $13.95 million for the quarter, compared to analyst estimates of $13.29 million. Canaan has set its Q3 2025 guidance at EPS. On average, analysts forecast that Canaan will post -0.74 earnings per share for the current year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. OVERSEA CHINESE BANKING Corp Ltd grew its stake in Canaan by 135.5% in the 3rd quarter. OVERSEA CHINESE BANKING Corp Ltd now owns 1,350,460 shares of the company’s stock valued at $1,190,000 after buying an additional 777,019 shares during the last quarter. SBI Securities Co. Ltd. grew its stake in Canaan by 32.1% in the 2nd quarter. SBI Securities Co. Ltd. now owns 202,605 shares of the company’s stock valued at $125,000 after buying an additional 49,206 shares during the last quarter. Goldman Sachs Group Inc. grew its stake in Canaan by 52.0% in the 1st quarter. Goldman Sachs Group Inc. now owns 587,451 shares of the company’s stock valued at $516,000 after buying an additional 200,869 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its holdings in Canaan by 15.4% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 3,941,515 shares of the company’s stock valued at $3,460,000 after purchasing an additional 525,772 shares during the period. Finally, GMT Capital Corp bought a new stake in Canaan in the 1st quarter valued at about $86,000. Institutional investors and hedge funds own 70.14% of the company’s stock.

Wall Street Analyst Weigh In

Several equities research analysts have issued reports on CAN shares. Wall Street Zen lowered shares of Canaan from a “hold” rating to a “sell” rating in a research note on Sunday, October 19th. B. Riley restated a “buy” rating on shares of Canaan in a research note on Wednesday, October 22nd. Benchmark boosted their price objective on shares of Canaan from $2.00 to $4.00 and gave the stock a “buy” rating in a research note on Thursday, October 23rd. Compass Point initiated coverage on shares of Canaan in a research note on Monday, September 15th. They set a “buy” rating on the stock. Finally, Rosenblatt Securities restated a “buy” rating and set a $4.00 price objective on shares of Canaan in a research note on Wednesday, October 29th. Six research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $3.61.

About Canaan

Canaan Inc engages in the research, design, and sale of integrated circuit (IC) final mining equipment products by integrating IC products for bitcoin mining and related components in the People's Republic of China. It is also involved in the assembly and distribution of mining equipment and spare parts.