Canaan price target lowered to $2 from $3 at Benchmark

Benchmark lowered the firm’s price target on Canaan (CAN) to $2 from $3 and keeps a Buy rating on the shares. The Q1 report “offered an impressive demonstration of the impact of the company’s diversified platform,” says the analyst, who notes that revenues exceeded management’s guidance despite the headwinds faced in both the company’s bitcoin mining equipment business and its proprietary self-mining activities. However, the “solid” Q1 operating performance is being overshadowed by tariff-related uncertainty, adds the analyst, who also points out that Canaan’s market cap is only slightly higher than the value of its bitcoin and cash holdings.