Cathedra Bitcoin Inc (CBIT) AI Stock Analysis

• Market Cap: C$51.62M
• Dividend Yield: N/A
• Average Volume (3M): 366.62K
• Price to Earnings (P/E): 1.9
• Beta (1Y): 1.00
• Revenue Growth: 76.55%
• EPS Growth: -507.14%
• Country: CA
• Employees: 5
• Sector: Technology
• Sector Strength: 84
• Industry: Financial - Capital Markets
• EPS (TTM): 0.00
• Shares Outstanding: 234,978,000
• 10 Day Avg. Volume: 268,392
• 30 Day Avg. Volume: 366,624
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: Hold
• Number of Analyst Covering: 2

• Rating: 46 Neutral
• Price Target: C$0.00 ▼(-100.00% Downside)

The overall stock score of 46 reflects significant financial performance challenges, particularly in profitability and cash flow. Technical analysis provides some positive signals, but they are not strong enough to offset the financial weaknesses. Valuation concerns further weigh down the score, with a negative P/E ratio indicating potential overvaluation.

Positive Factors

Leadership

The new CEO, Joel Block, is a highly experienced bitcoin mining veteran, joining Cathedra Bitcoin and quickly securing a new 15MW datacenter lease, boosting the company's power capacity by 50%.

Strategy

Cathedra Bitcoin's strategy focuses on site selection, development, and power, with a flexible and debt-free balance sheet that supports this direction.

Negative Factors

Revenue Performance

Revenue for the June quarter was down 20% sequentially to C$5.2M, reflecting a shift from mining to power development.

Risk Factors

An investment in Cathedra Bitcoin is not without significant risk, including the speculative nature of bitcoin itself and dilution associated with capital raises.

Uncertainty

The unsettled North Dakota deal creates uncertainty about when Cathedra could receive the remainder of the sale consideration.

Cathedra Bitcoin Inc Business Overview & Revenue Model

Company Description

Cathedra Bitcoin Inc (CBIT) is a company operating in the cryptocurrency sector, focusing on Bitcoin mining and related activities. The company aims to leverage advanced technologies and sustainable practices to efficiently mine Bitcoin, while also exploring opportunities within the broader blockchain ecosystem. With a commitment to innovation, Cathedra Bitcoin Inc seeks to contribute to the growth and stability of the cryptocurrency industry.

How the Company Makes Money

Cathedra Bitcoin Inc primarily generates revenue through its Bitcoin mining operations. By utilizing powerful computing hardware, the company solves complex mathematical problems to validate and secure transactions on the Bitcoin network, earning Bitcoin as a reward for their efforts. These mined Bitcoins can then be held as an asset or sold on cryptocurrency exchanges to realize profits. Additionally, the company may partake in strategic partnerships with technology providers or energy suppliers to optimize its mining efficiency and reduce operational costs, further enhancing its revenue potential. The company's earnings are influenced by factors such as the market price of Bitcoin, the total network hash rate, and the cost-effectiveness of its mining operations.

Cathedra Bitcoin Inc Financial Statement Overview

Summary

Cathedra Bitcoin Inc. faces challenges with profitability and cash flow generation, despite having a strong equity base. The income statement and cash flow issues highlight operational inefficiencies and financial instability that must be addressed to enhance future performance.

Income Statement

The income statement displays mixed performance with unstable profitability. The TTM (Trailing-Twelve-Months) shows a gross profit margin of 12.89%, which is positive, but the company has negative net profit and EBIT margins (-11.21% and -16.42% respectively), indicating operational challenges. Revenue growth has been inconsistent, with a decline in the latest TTM compared to the previous annual period.

Balance Sheet

The balance sheet reveals moderate financial stability with a debt-to-equity ratio of 0.19, suggesting manageable leverage. However, the return on equity is negative due to recent net losses. The equity ratio stands at 70.45%, indicating a strong equity base relative to assets, which is a positive sign.

Cash Flow

Cash flow analysis shows concerning trends with negative operating and free cash flows in the TTM. The free cash flow to net income ratio indicates cash flow challenges, as operational cash generation is insufficient to cover net losses. The cash flow from operations to net income ratio is negative, reflecting operational inefficiencies.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	21.12M	23.14M	10.92M	8.81M	7.80M	1.03M
Gross Profit	2.72M	3.87M	-2.04M	-5.22M	1.83M	-263.40K
EBITDA	4.67M	6.37M	3.98M	-34.63M	4.34M	1.87M
Net Income	-2.37M	673.84K	-5.48M	-45.03M	718.11K	5.05M
Balance Sheet
Total Assets	38.36M	71.20M	18.86M	25.76M	58.37M	16.98M
Cash, Cash Equivalents and Short-Term Investments	459.06K	101.37K	2.57M	3.22M	9.44M	7.05M
Total Debt	5.07M	6.96M	7.35M	18.67M	19.83M	698.49K
Total Liabilities	11.34M	27.40M	9.60M	20.99M	23.78M	952.77K
Stockholders Equity	27.03M	28.28M	9.25M	4.77M	34.59M	16.03M
Cash Flow
Free Cash Flow	-5.76M	-788.68K	-8.19M	-22.78M	-41.08M	-3.20M
Operating Cash Flow	-5.76M	-788.68K	-8.13M	2.55M	-19.23M	-3.20M
Investing Cash Flow	4.93M	4.43M	8.70M	-13.24M	-12.39M	-195.32K
Financing Cash Flow	-4.47M	-3.66M	-3.45M	6.19M	34.45M	-202.50K

Cathedra Bitcoin Inc Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.06
• 50DMA: Negative
• 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 TSE:CBIT, the sentiment is Neutral. The current price of 0.06 is above the 20-day moving average (MA) of 0.06, below the 50-day MA of 0.06, and above the 200-day MA of 0.06, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 45.93 is Neutral, neither overbought nor oversold. The STOCH value of 50.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:CBIT.

Cathedra Bitcoin Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$35.51B	8.11	-11.05%	1.89%	8.55%	-8.72%
NDA	56 Neutral	C$133.45M	60.00	-0.89%	―	-20.75%	-84.00%
CBIT	46 Neutral	C$51.62M	1.91	-40.39%	―	76.55%	-507.14%
BTC	34 Underperform	C$6.97M	―	-345.56%	―	-7.93%	15.88%
HIVE	―	$677.47M	―	-5.84%	―	―	―
BITF	―	$740.78M	―	-15.17%	―	―	―
DMGGF	―	$38.29M	―	-14.48%	―	―	―

Cathedra Bitcoin Inc Corporate Events

Cathedra Bitcoin Strengthens Financial Position with Early Loan Repayment

Cathedra Bitcoin Inc. announced the early repayment of its US$2.560 million bitcoin-backed loan, initially due in March 2026. The repayment was funded by liquidating part of its bitcoin collateral, taking advantage of the recent appreciation in bitcoin prices. This move strengthens Cathedra’s balance sheet and positions the company for strategic growth initiatives aimed at enhancing shareholder value.

Cathedra Bitcoin Inc. Announces New CEO Amid Leadership Transition

Cathedra Bitcoin Inc. has announced a leadership transition with the appointment of Joel Block as the new Chief Executive Officer and Chairman of the Board. This change comes as former CEO AJ Scalia and President Drew Armstrong step down but remain as advisors during the transition. Mr. Block brings extensive experience from his previous roles, including a significant merger in the bitcoin mining industry. The leadership change is expected to drive Cathedra’s strategic vision and operational excellence, positioning the company for future growth in the rapidly evolving bitcoin sector.

Cathedra Bitcoin Inc. Reports Q1 2025 Growth and Strategic Expansions

Cathedra Bitcoin Inc. reported an 11% increase in revenue for Q1 2025 compared to the previous year, alongside strategic financial maneuvers such as prepaying convertible debt at a discount and entering a new loan secured by bitcoin. The company is expanding its operations with a new power purchase agreement in Tennessee and a partnership with Synota Inc. to improve cash flow and payment flexibility. Additionally, Cathedra is involved in a joint venture to sell a bitcoin mining facility in North Dakota, which is expected to close soon. These developments underscore Cathedra’s strategy to optimize capital structure and expand its data center portfolio, while aiming to list on a major U.S. stock exchange to enhance liquidity and capital access.

Cathedra Bitcoin Inc. Announces May 2025 Conference Participation

Cathedra Bitcoin Inc. has announced its participation in key conferences in May 2025, with President & COO Drew Armstrong speaking on panels at both the Consensus conference in Toronto and the Bitcoin 2025 conference in Las Vegas. These appearances highlight Cathedra’s active engagement in the bitcoin industry and its focus on strategies related to AI, high-performance computing, and treasury management, potentially enhancing its industry positioning and stakeholder engagement.