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Bitmine Immersion Technologies (BMNR) is in focus after committing US$200 million to Beast Industries, the company tied to YouTube creator MrBeast, while at the same time increasing its large scale Ethereum staking activity.
See our latest analysis for Bitmine Immersion Technologies.
These Beast Industries headlines and the ramp up in Ethereum staking come after a tough period, with a 90 day share price return of a 42.08% decline, but a very large 1 year total shareholder return and a 3 year total shareholder return of 122.64% suggesting powerful but volatile momentum around the Bitmine story.
If Bitmine’s mix of crypto infrastructure and creator finance has caught your attention, it could be a good moment to broaden your search with high growth tech and AI stocks.
With analysts’ targets sitting well above the current US$31.16 share price, and Bitmine leaning heavily into Ethereum and creator finance, you have to ask yourself: is there genuine upside here, or is the market already pricing in future growth?
With Bitmine Immersion Technologies trading at US$31.16, its P/B of 1.3x sits well below both the US software industry and its direct peers, which points to a comparatively low valuation on asset terms.
P/B compares a company’s market value to its book value. A lower multiple can indicate investors are paying less for each dollar of net assets. For a business that is currently unprofitable, like Bitmine, this measure can be a useful cross check when earnings-based metrics are less informative.
According to the data, Bitmine’s P/B of 1.3x is described as good value versus the US software industry average of 3.2x and an even higher peer average of 13.9x. That is a wide gap, suggesting the market is pricing Bitmine’s assets more conservatively than many comparable software names.
See what the numbers say about this price — find out in our valuation breakdown.
Result: Price to book of 1.3x (UNDERVALUED).
However, you are still dealing with a company that reported a US$4,871.999 loss on just US$7.187 revenue and operates in highly volatile crypto related markets.
Find out about the key risks to this Bitmine Immersion Technologies narrative.
While the 1.3x P/B ratio suggests asset based value, our DCF model comes to a very different conclusion. At a share price of US$31.16, Simply Wall St estimates fair value at about US$0.18. On a cash flow basis, this implies the stock screens as heavily overvalued.
