By Is this blockchain tech company HIVE potentially bigger than Crypto?
Stock Ticker
HIVE ($HIVE)
Stock Name and Trading Stock Exchange Platform
Hive Blockchain Technologies Ltd. – TSX.V (Toronto stock venture exchange)
- NASDAQ: HIVE
- CVE (Canadian Venture Exchange)
- FSE: HBF
The Stock Sector
Hive Blockchain (formerly Leeta Gold Corp) is a developer in the blockchain sector that seeks to facilitate the connection between blockchain and the conventional financial markets.
Read our stocks picks articles for free
You may also like to read about the following insurance stocks
Want to read more Crypto articles?
Hive Blockchain is also involved in the mining of cryptocurrencies including BTC & ETH. They also focus on the sales of digital currencies. The company owns green energy-powered data center facilities.
The Hive Blockchain company operates in several geographical locations including Sweden, Canada, Iceland, and Bermuda.
Hive Blockchain was founded in 1987 by Olivier Roussy Newton. They are headquartered in Vancouver, Canada. The company maintains a small corporate structure of about 19 employees.
Recent News on Hive Blockchain
The cryptocurrency blockchain sector is one of the fastest-growing sectors today (2022) and companies like Hive have received a lot of attention with the boom witnessed over the past few months.
Hive Crypto Blockchain has recently penned a deal with the established Microchip manufacturer, Intel Corporation. Hive will procure ASIC chips to develop a Blockchain accelerator. The company has also signed a 100MW renewable energy deal in Texas.
Volatility has been witnessed in crypto. markets in the last few months with big highs and big lows being recorded within the period.
Hive made strategic moves during this period, one major one was investing in the Blockchain software company Titan. IO.
This was tactical gameplay as they are incorporating both software and hardware solutions of the blockchain into their portfolio.
The Hive Blockchain company has seen strong trading volume in its shares at end of March 2022. Predictions are pouring in that the company could be a ‘multi-bagger’.
Hive reported quarterly earnings this year in February via their investors webcast conference. The results were outstanding, and the company foresees to sustain the trend, with Wallstreet now setting its eyes on it. The company also recently provided an update on its current production activities.
Current Position of Hive
The company is having a fantastic run at the moment following the stellar reports posted. It currently has a market capitalization of 1.08B CAD.
The company has a healthy balance sheet with all of its charts up in green. The company holds the majority of its coins in Ethereum (61%) and the rest in bitcoin (21%).
Ethereum has more applications than just a cryptocurrency and has utility in various industries thus this explains why they operate largely in the coin.
The Hive Blockchain company’s total Bitcoin equivalent production in February 2022 stood at 377.1 BTC. This was a drop compared to the previous month, although by a small margin. The company reported that Ethereum miners made $1.29B in revenue in March 2022.
Crypto miners have had a rough month in February, with many of them down during the period. Hive has cited increased difficulties in the bitcoin network, to as much as 5%, and similarly Ethereum network difficulties which together affected their gross profit margins.
Continued curtailment of energy has also negatively impacted the company. The company is set to complete and terminate its ATM (At-The-Market) offering program which was started last year for the sale of its common stock. It has managed to sell just shy of $100M worth of shares.
The Chairman and CEO of Hive, Frank Holmes is pleased by the company moving forward and working with leading experts like Intel. Holmes stated that, the two companies share common goals.
Hive is working with many organizations; it is particularly inclined to its ESG and clean energy commitments. It services many companies in the resource and extractives sectors.
Hive is very prospective to investors because of its rising return on invested capital (about 35%) and other attractive factors. It has finally picked a positive return path after years of losses.
It also faces significant competition in space as many miners continue to emerge day by day. Some of its rivals include Verge, Scorechain, and Friends with Benefits among many others.
Hive is however still relatively tied to the crypto industry despite providing separate blockchain solutions. When BTC hit its all-time high, Hive correspondingly hit its peak high of $1.89B.
The pace of adoption is moving insanely fast, companies like Hive that power the revolution will be in for a good profitable treat. [See the stock chart of $HIVE at the end of this article]
As of the 3rd of April 2022, $Hive closed the week at $2.11 per share, down by -9.4%.
It has traded at a day range of $2.61-2.73. It is down from its year-high of $6.57 and low of $1.91. It is currently trading below its peak high.
The stock is not a predictable one as it operates in the highly unstable crypto market. It is growing over years and has proved it can do remarkably well.
The support level is still low at the moment and crypto is still quite shaky at this present time. Hive blockchain has had bad times since it peaks during the last few months and generally follows the performance of the bitcoin/Ethereum price actions crypto blockchain investors should be aware.
Future prices of these coins cannot be accurately predicted. The Hive stock is swinging regularly but is still on an upward move over time.
Sentiment on Hive blockchain
Some Hive investing experts think that the share price targets are reasonable at this present time. The company has turned to a profitable path posting amazing results that have wooed blockchain investors.
Others disagree and view Hive’s boom as part of the crypto bubble that will eventually come crashing down. They insist that these coins have no utility and cannot be of any real tangible value.
The crackdown by the government on crypto is also of significant consequence. Authorities are looking for better ways to regulate crypto and limit tax evasion.
The issuing of a government (US) digital currency could be a major move to watch for in the coming weeks, months and years that will determine the fate of crypto, for better or for worse unto blockchain do us part.
What the future holds for Hive and the crypto blockchain sector as a whole, is uncertain as I write this in March 2022.
Profits for Hive
Hive has turned profitable and hence a treasure spot for shareholders. Revenue went up last year by a staggering +397% valued at $68M.
Net income similarly shot up by +237% recorded at $64.25M. The net profit margin was at 94.22% but still surprisingly down by -24.95%.
Cash and equivalents exploded by +6441%, recorded at $63.65M. The net change in cash also saw an astronomical rise by +1311% posted at $58.88M.
The profits are mind-blowing, but the question still lies as to whether this momentum will continue.
Future of Hive blockchain
Hive blockchain is well set to lead in changing frontiers in its blockchain industry. It will no doubt strive to beat and maintain its current position.
The blockchain is their biggest promising sector whose potential is still being tapped. Like a golden honey pot, Crypto has the attention of the masses and has served them well over the past decade.
Cryptocurrencies and Blockchain technology are different although utilize similar underlying mechanisms. Hive believes in both of these as essential to the future successes of the blockchain industry.
Those who shy away from crypto and related asset-class point out volatility as the main reason. The importance and direction of this asset class should be deciphered before the trading price.
Booms and busts cycles have and will always exist to usher in a new era of operation. The internet saw this during the dot com bubble, without which such technologies would likely not exist.
The blockchain is fundamental in the future operations of major industries and is here to stay. Cryptocurrencies are however not so certain, having mixed perceptions among investors.
The idea of cryptocurrencies is to provide freedom from a centralized system. It has been termed the internet of money and will revolutionize the velocity of cash.
Naysayers have hysterically stated that a digital currency already exists and it is called a bank account. Warren Buffet called it Stupid and immoral
Crypto is a rebellion against the iron-clad system, classically referred to as the people’s money, it seeks to ensure a limited known supply of currency that is not debauched by quantitative easing.
Additionally, it offers anonymity and discretion by not revealing the user’s identity. Even though central bankers and government will want to maintain their position today, the idea of crypto is already out there and embraced by many, thus very difficult to obliterate.
The idea of a “Swish bank account” in the confines of your pocket is appealing and many hold a firm stand to remain with it.
Bitcoin might have been the best performing asset of the decade, but it is almost at saturation in terms of potential returns. Blockchain however might just be the asset as we proceed into the next decade.
Healthcare, pharmaceuticals, Consumables, Banking, Real estate, exchanges, digital systems, and more are all ripe for disruption by blockchain technology. The impact is so huge and vast that no other technology will do the same in the few years ahead.
The miner will have to decide whether to successfully pursue both sectors with little assurance of victory in crypto, but an almost guaranteed one from blockchain technology.
Overall Verdict on Hive blockchain
The stock is somewhat bearish short-term and looks bullish in the long haul.
Moving averages indicate a sell while oscillators are neutral, thus it is an overall sell at the moment.
It has the potential to soar exponentially with the blockchain revolution, but one should opt for caution under current crypto / blockchain market conditions with the latter set to take off sooner or later.
Read our stocks picks articles for free
You may also like to read about the following insurance stocks
Want to read more Crypto articles?
HIVE Stock Price Chart:
If this information has been useful to you, kindly consider making a financial PayPal donation to support our work in continuing to provide you with free quality content.
Disclaimer:
We have taken reasonable steps to make sure that any information on this website is accurate at the time of publishing. Any opinions expressed are the opinions of the author only. The content on TabStocks.com is not recommendations to buy or sell. We do not give personal financial investment advice and the information on this website and via our email newsletters should not be taken as us giving any individual or organisation such advice directly or indirectly. You should do your own research and due diligence before trading or investing or speak to an independent qualified financial adviser. Do not rely upon the information on this website or via our newsletters when making an investment decision. No liability is accepted by the author, TabStocks.com or its Officers for any investment loss, or any other loss or detriment experienced by any individual for any investment decision, whether consequent to, or in any way related to the content on this website and/or information in emails from this website.
