BTCS (BTCS) AI Stock Analysis

• Market Cap: $69.83M
• Dividend Yield: N/A
• Average Volume (3M): 1.44M
• Price to Earnings (P/E): 5.3
• Beta (1Y): -0.40
• Revenue Growth: 199.18%
• EPS Growth: -117.49%
• Country: US
• Employees: 7
• Sector: Financial
• Sector Strength: 81
• Industry: Financial - Capital Markets
• EPS (TTM): -0.86
• Shares Outstanding: 21,095,390
• 10 Day Avg. Volume: 2,363,580
• 30 Day Avg. Volume: 1,439,671
• PEG Ratio: <0.01
• Price to Book (P/B): 2.39
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -10.64
• Enterprise Value/Market Cap: 0.71
• Enterprise Value/Revenue: 3.82
• Enterprise Value/Gross Profit: 63.55
• Enterprise Value/Ebitda: -1.97
• 1Y Price Target: $5.00
• Price Target Upside: 62.34% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 47 Neutral
• Price Target: ―

BTCS's overall score reflects strong revenue growth and a solid balance sheet, countered by significant profitability challenges and liquidity issues. Recent corporate events offer strategic growth potential, but valuation remains problematic due to ongoing losses. Technical analysis shows mixed trends, with a slight short-term positive momentum.

Positive Factors

Earnings and Price Target

Reiterating Buy rating and increasing price target to $5 from $3 based on steep upturn in revenue.

Market Leadership

BTCS is the only public company pursuing Ethereum block building, integrating Forta’s AI-powered threat intelligence into Builder+, enhancing regulatory compliance.

Revenue Growth

BTCS generated 541 ETH in the first six weeks of the December quarter, showing significant revenue acceleration.

Negative Factors

Cost and Margins

Buying the blocks necessary has an associated cost, impacting margins due to increased spending on blocks.

Revenue Forecast

The company is scaling back its 2025 revenue forecast due to pricing resets, indicating a more conservative outlook.

BTCS Business Overview & Revenue Model

Company Description

BTCS Inc. focuses on digital assets and blockchain technologies. The company secures disruptive next-generation blockchains and operates validator nodes on various proof of stake-based blockchain networks. It also develops a proprietary Digital Asset Platform that allows users to evaluate their crypto portfolio holdings across multiple exchanges and chains on a single platform. The company was formerly known as Bitcoin Shop, Inc. and changed its name to BTCS Inc. in July 2015. BTCS Inc. was founded in 2013 and is based in Silver Spring, Maryland.

How the Company Makes Money

BTCS makes money primarily through its blockchain infrastructure operations, including cryptocurrency staking and transaction verification services. These activities involve validating transactions on blockchain networks, for which BTCS earns rewards in the form of cryptocurrencies. Additionally, the company may generate revenue from its blockchain analytics services, which support businesses and individuals in navigating the complexities of digital asset management. BTCS's earnings are significantly influenced by the performance of the cryptocurrency market and its ability to efficiently manage and scale its blockchain infrastructure operations.

BTCS Financial Statement Overview

Summary

BTCS exhibits strong revenue growth but struggles with profitability, marked by negative net profit and gross profit margins. Despite a robust, debt-free balance sheet, persistent cash flow challenges and reliance on external financing indicate financial instability.

Income Statement

BTCS has shown significant revenue growth from $1,339,628 in 2023 to $4,073,518 in 2024, marking a strong upward trend. However, the company remains unprofitable with a net profit margin of -31.2% in 2024, due to consistent negative EBIT and EBITDA margins. The gross profit margin has decreased from 73.1% in 2023 to 23.2% in 2024, indicating rising cost pressures.

Balance Sheet

The company has a strong equity base with a debt-free balance sheet, resulting in a debt-to-equity ratio of 0. The equity ratio stands at 88.9% as of 2024, suggesting financial stability. However, the company's return on equity is negative due to ongoing net losses, which is a concern for potential investors.

Cash Flow

BTCS has faced consistent negative operating cash flows, and free cash flow remains negative, highlighting ongoing liquidity challenges. The free cash flow to net income ratio is unfavorable, and the operating cash flow to net income ratio is negative due to substantial net losses. Positive financing cash flows indicate reliance on external funding.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
5.31M	4.07M	1.34M	1.69M	1.21M	0.00
	Gross Profit
777.02K	946.01K	979.85K	1.27M	944.94K	-1.11K
	EBIT
-8.28M	-8.16M	-3.71M	-4.65M	-17.12M	-1.99M
	EBITDA
-8.69M	-8.16M	-3.71M	-4.65M	-13.99M	-1.99M
	Net Income Common Stockholders
-30.80M	-1.27M	7.82M	-27.06M	-18.10M	-2.96M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
269.93K	38.07M	26.68M	4.07M	5.14M	1.52M
	Total Assets
21.03M	38.25M	27.15M	9.92M	14.10M	1.55M
	Total Debt
0.00	0.00	0.00	0.00	0.00	131.94K
	Net Debt
-269.93K	-1.98M	-1.46M	-2.15M	-1.40M	-392.19K
	Total Liabilities
476.13K	4.25M	980.90K	586.41K	2.00M	508.61K
	Stockholders Equity
20.56M	34.00M	26.17M	9.33M	12.10M	1.04M
Cash Flow		Free Cash Flow
-4.67M	-3.53M	-3.57M	-782.18K	-4.87M	-2.97M
	Operating Cash Flow
-4.66M	-3.53M	-3.56M	-776.78K	-4.86M	-2.97M
	Investing Cash Flow
-2.65M	-2.63M	186.00K	-8.97M	-9.47M	-908.08K
	Financing Cash Flow
6.91M	6.68M	2.69M	10.50M	15.21M	3.35M

BTCS Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3.08
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BTCS, the sentiment is Positive. The current price of 3.08 is above the 20-day moving average (MA) of 2.31, above the 50-day MA of 1.90, and above the 200-day MA of 2.09, indicating a bullish trend. The MACD of 0.34 indicates Negative momentum. The RSI at 63.05 is Neutral, neither overbought nor oversold. The STOCH value of 74.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BTCS.

BTCS Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	64 Neutral	$12.67B	9.74	7.58%	17015.08%	12.21%	-6.96%
MDBH	55 Neutral	$39.30M	3.63	24.43%	―	8.75%	―
MIGI	55 Neutral	$11.62M	―	-461.16%	―	-0.67%	65.35%
ABTS	47 Neutral	$9.98M	―	-8.39%	―	―	―
BTCS	47 Neutral	$69.83M	5.34	-102.90%	―	199.18%	-117.49%
GREE	40 Underperform	$25.63M	―	22.29%	―	-20.28%	48.08%
ARBK	37 Underperform	$26.61M	―	242.25%	―	―	―

BTCS Corporate Events

BTCS Secures $320,000 USDT Loan from AAVE

On April 23, 2025, BTCS Inc. borrowed $320,000 USDT from AAVE, a decentralized finance lending protocol, using 446 Ethereum as collateral. The loan aims to expand BTCS’s Ethereum holdings and staking capacity, leveraging market conditions to increase exposure to ETH and enhance staking operations. This strategic move aligns with BTCS’s broader strategy to capitalize on market dislocations, aiming to grow revenue and improve margins while preserving shareholder value.

Spark’s Take on BTCS Stock

According to Spark, TipRanks’ AI Analyst, BTCS is a Neutral.

BTCS shows strong revenue growth and a solid balance sheet with no debt, indicating underlying financial resilience. However, negative profitability, ongoing cash flow deficits, and heavy reliance on external financing present significant risks. Technical indicators show mixed signals with potential overbought conditions, while valuation is challenging due to negative earnings.

To see Spark’s full report on BTCS stock, click here.