Canaan shares plunge 7% despite strongest quarter in three years
Canaan (CAN) shares fell about 6.9% on Nasdaq after the company reported its strongest quarter in three years. Q4 revenue rose 121.1% year‑on‑year to $196.3 million, driven by record hardware sales (14.6 EH/s shipped) and improved mining performance. Bitcoin mining revenue grew 98.5% YoY to $30.4 million, and Canaan boosted its treasury to a record 1,750 BTC (≈$120M) and 3,950 ETH (≈$7.9M). Installed hashrate reached 9.91 EH/s with 7.65 EH/s operational. Despite these gains, shares slipped to $0.56, leaving the company below Nasdaq’s $1 minimum bid rule and at risk of delisting unless it closes above $1 for 10 consecutive trading days by the July 13 deadline. The stock is down 18.1% year‑to‑date and 70.2% over 12 months. Key keywords: Canaan, Bitcoin miner, Nasdaq delisting risk, hashrate, hardware sales, BTC treasury.
Bearish
Although Canaan reported its strongest quarter in three years — with sharp revenue growth, record hardware shipments (14.6 EH/s), and a larger BTC/ETH treasury — the market punished the stock. The immediate driver is regulatory/listing risk: the share price at $0.56 leaves Canaan under Nasdaq’s $1 minimum bid rule and exposed to potential delisting if it cannot sustain a recovery by July 13. For traders, that elevates downside volatility and the probability of forced selling or dilution (if management raises capital). Short term, expect continued selling pressure, heightened volatility, and risk of steep intraday moves as investors speculate on rescue options or catalysts (big orders, buybacks, capital raises). Historically, miners with delisting risk see negative price action despite operational improvements because regulatory/listing mechanics and low float can dominate sentiment. Long term, fundamentals (growing BTC treasury, rising shipments, expanded hashrate) are constructive if bitcoin prices and miner economics remain favorable; however, recovery depends on sustained operational earnings, clearer capital plans from Canaan, and restored market confidence. Traders should monitor: share price vs. $1 compliance threshold, announcements on capital raises or institutional orders, bitcoin price and network hashrate trends, and volume spikes indicating block trades or insider activity.