Canaan Inc. (CAN) stock plunged by 1.48% at the last trading close whereas the CAN stock price rises by 3.00% in the pre-market trading session after Canaan reported its fourth quarter and full-year 2020 financial results. Canaan Inc. develops powerful computational solutions for solving complex problems quickly. Canaan Inc. is currently concentrating on advanced technology research and development, including AI processors, AI algorithms, AI architectures, system on a chip integration, and chip integration. Canaan Inc. has developed an intellectual value chain based on the AI chip.
Top 5 EV Tech Stocks to Buy for 2023
The electric vehicle boom is accelerating – and fast. According a new report published by BloombergNEF, annual spending on passenger EVs hit $388 billion in 2022, up 53% from the year before. Like we said, the boom is accelerating – and the time to buy EV-related tech stocks is now. Get our free report, "Top 5 EV Tech Stocks to Buy for 2023".
Click Here to Download the FREE Report.
Sponsored
Financial Results 2020
On April 12, 2021, CAN reported its financial results fourth quarter and full-year 2020 ended on December 31, 2020. Given below is the summary:
- For CAN, its total computing power sold was 0.2 million Thash/s for the fourth quarter 2020 compared to 2.9 million Thash/s for the same period in the previous year, this is a decrease of 93.1%. Whereas the total computing power sold for the full year 2020 was 6.6 million Thash/s compared to 10.5 million Thash/s for the year 2019, which makes it a decline of 37.1%.
- Total net revenue fell to RMB38.2 million (US$5.9 million) in the third quarter of 2020, down from RMB463.2 million in the previous quarter and RMB163.0 million in the third quarter of 2019. For the full year 2020, total net revenue was RMB447.7 million (US$68.6 million) compared to RMB1, 422.6 million in 2019.
- For the full year 2020, the gross profit was RMB37.8 million relative to a net loss of RMB516.0 million in 2019. Compared to a gross loss of RMB673.4 million in the Q4 of 2019 and a gross loss of RMB17.0 million in the third quarter of 2020, gross profit for the fourth quarter 2020 was RMB9.1 million (US$1.4 million).
- From RMB798.2 million in the fourth quarter of 2019 and RMB86.4 million in the third quarter of 2020, the net loss shrank to RMB72.0 million (US$11.0 million) for the fourth quarter 2020. From RMB1, 034.5 million in full-year 2019, the net loss shrank to RMB215.1 million (US$33.0 million) for the year 2020.
2021 outlook
Since the price of Bitcoin began to rise in the fourth quarter of 2020, CAN anticipates a significant increase in sales in 2021, with overall net revenues in the first quarter of 2021 expected to be at least RMB400.0 million. This estimate reflects CAN’s current and tentative views on the market and operating conditions, which are prone to revision, especially in light of possible price changes in Bitcoin and the global economic effect of COVID-19.
