Bluesky Digital Assets (BTC) AI Stock Analysis

• Market Cap: C$9.46M
• Dividend Yield: N/A
• Average Volume (3M): 184.78K
• Price to Earnings (P/E): ―
• Beta (1Y): -1.97
• Revenue Growth: 55.13%
• EPS Growth: 90.42%
• Country: CA
• Employees: N/A
• Sector: Financial
• Sector Strength: 84
• Industry: Financial - Capital Markets
• EPS (TTM): -0.07
• Shares Outstanding: 59,108,418
• 10 Day Avg. Volume: 97,164
• 30 Day Avg. Volume: 184,777
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• Price to Cash Flow (P/CF): -15.20
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Bluesky Digital Assets is currently under significant financial stress, with declining revenue and high operating losses contributing to a low financial performance score. The technical analysis indicates strong bearish momentum, with the stock trading below key moving averages. Valuation is also weak due to negative earnings and no dividend yield. However, a recent strategic investment in ChessGold offers a potential growth opportunity in the AI and blockchain space, slightly improving the overall outlook.

Bluesky Digital Assets Business Overview & Revenue Model

Company Description

Bluesky Digital Assets (BTC) is a company operating in the digital currency and blockchain sectors. The company focuses on digital asset mining, primarily Bitcoin and Ethereum, and utilizes advanced technologies to optimize the efficiency and profitability of its mining operations. Bluesky Digital Assets aims to leverage blockchain technology to enhance the security and speed of its digital currency transactions.

How the Company Makes Money

Bluesky Digital Assets makes money primarily through its digital asset mining operations. The company earns revenue by mining cryptocurrencies such as Bitcoin and Ethereum, which involves solving complex mathematical problems to validate transactions on the blockchain network. For successfully mining these digital currencies, Bluesky Digital Assets receives cryptocurrency rewards, which can then be held or sold on the market for profit. Additionally, the company may benefit from fluctuations in cryptocurrency prices and potentially through partnerships with other blockchain technology firms to enhance and scale its mining operations.

Bluesky Digital Assets Financial Statement Overview

Summary

Bluesky Digital Assets faces significant financial challenges with declining revenue, high operating losses, and a weak balance sheet. The negative cash flow trends further exacerbate the company's financial instability, requiring strategic improvements to achieve sustainable growth and profitability.

Income Statement

The company has experienced declining total revenue over the past few years, with a significant decrease in gross profit margin and persistent net losses. The revenue growth rate is negative, and both EBIT and EBITDA margins are deeply negative, indicating severe operational inefficiencies and unprofitability.

Balance Sheet

The balance sheet shows high leverage with a low equity ratio, indicating financial instability. The debt-to-equity ratio has increased due to declining equity, which poses a risk. Return on Equity (ROE) is negative, reflecting the company's inability to generate profits from shareholders' equity.

Cash Flow

The company has consistent negative free cash flow, signaling liquidity issues. Operating cash flow is negative and has deteriorated over time, while the free cash flow to net income ratio is unfavorable, indicating weak cash flow generation compared to reported losses.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
-7.53K	1.56K	1.42M	3.73M	694.64K	337.35K
	Gross Profit
-708.73K	-58.22K	-6.91M	764.22K	-260.85K	121.67K
	EBIT
-1.75M	-3.66M	-9.78M	-6.19M	-1.40M	-2.72M
	EBITDA
-1.74M	-3.66M	-5.52M	-4.96M	-1.13M	-2.53M
	Net Income Common Stockholders
-1.92M	-4.06M	-7.40M	-6.30M	-1.68M	-5.22M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
118.31K	148.82K	281.07K	1.00M	1.61M	894.44K
	Total Assets
1.58M	880.09K	1.97M	8.72M	2.02M	2.79M
	Total Debt
249.46K	165.81K	265.27K	296.97K	291.40K	405.97K
	Net Debt
164.23K	67.23K	33.56K	-557.26K	-784.10K	-446.95K
	Total Liabilities
938.67K	856.39K	1.41M	3.84M	645.11K	717.03K
	Stockholders Equity
636.55K	23.70K	556.92K	4.88M	1.37M	2.07M
Cash Flow		Free Cash Flow
-727.24K	-1.27M	-2.89M	-7.83M	-683.81K	-1.90M
	Operating Cash Flow
-765.76K	-1.27M	-439.31K	-1.94M	-588.36K	-1.60M
	Investing Cash Flow
174.51K	364.97K	-2.31M	-5.45M	1.72K	973.11K
	Financing Cash Flow
68.36K	768.66K	2.18M	7.06M	809.21K	503.01K

Bluesky Digital Assets Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.17
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:BTC, the sentiment is Negative. The current price of 0.17 is below the 20-day moving average (MA) of 0.20, below the 50-day MA of 0.21, and below the 200-day MA of 0.18, indicating a bearish trend. The MACD of -0.01 indicates Positive momentum. The RSI at 35.56 is Neutral, neither overbought nor oversold. The STOCH value of 19.05 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:BTC.

Bluesky Digital Assets Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GLXY	65 Neutral	C$6.37B	3.44	61.32%	―	―	―
Sector *	64 Neutral	$14.59B	10.31	8.70%	4.21%	16.52%	-11.97%
HUT	49 Neutral	C$1.92B	3.96	2.56%	―	199.41%	―
DMGI	49 Neutral	C$56.91M	―	-15.61%	―	17.68%	-278.21%
HIVE	45 Neutral	$407.88M	―	-2.15%	―	27.99%	90.99%
BITF	44 Neutral	C$639.26M	―	-31.62%	―	45.19%	-33.48%
BTC	34 Underperform	C$9.46M	―	-276.63%	―	55.13%	90.42%

Bluesky Digital Assets Corporate Events

Bluesky Digital Assets Invests in ChessGold to Enhance AI and Blockchain Offerings

Bluesky Digital Assets Corp. has announced a strategic investment in ChessGold Inc., an online digital game developer, by agreeing to a loan of up to CAD 1,000,000. The investment aligns with Bluesky’s focus on AI and Blockchain, as ChessGold integrates these technologies into its game development. This move not only provides financial support for ChessGold’s market launch, but also positions Bluesky to potentially gain equity in a company poised for growth in the digital gaming space.

Bluesky Digital Assets Secures $750,000 Credit Facility to Advance AI Initiatives

Bluesky Digital Assets Corp. has secured a $750,000 CAD unsecured revolving credit facility from a group of private lenders, at an 8% annual interest rate, to support its working capital needs and advance its AI and BlueskyINTEL platform development. Additionally, Bluesky is issuing 7,500,000 Common Shares to consultants tasked with identifying acquisition targets to bolster its AI business model, indicating a strategic push towards growth and market expansion.

Bluesky Digital Assets Raises Over $1.15 Million

Bluesky Digital Assets Corp. successfully raised over $1.15 million CAD through the exercise of warrants, which will be used to advance their AI development and business ventures. The company, positioned at the intersection of AI, Blockchain, and Web3 solutions, aims to leverage this capital for further growth. Bluesky’s platform, BlueskyINTEL, facilitates business adoption of emerging technologies.

Bluesky Digital Assets Prepares for Revenue Growth

Bluesky Digital Assets Corp. is set to launch its BlueskyINTEL Web Engagement Platform in January 2025, aiming to generate revenue through subscriptions and partnerships. The platform strategically connects businesses looking to adopt AI and blockchain with suitable solution providers. This marks a significant milestone as the company transitions from development to revenue generation.

Bluesky Digital Assets Raises Funds Amid Market Surge

Bluesky Digital Assets Corp. has successfully closed a private placement, raising C$242,500 through the sale of 4,850,000 units. Additionally, they garnered C$415,250 from warrant exercises, leading to a total of C$657,750. The company remains unaware of any operational changes that might explain recent market activity.