The stock markets are at or near record highs right now, buoyed by a strong investors sentiment, especially among retail investors. Stocks represent a strong return while interest rates and bond yields remain low. But for return-minded investors, stocks are not the only game in town.
The notoriously volatile Bitcoin has surged 109% this year, peaking above $65,000 earlier this month. Yet, some crypto watchers believe the digital coin will climb even higher.
The cryptocurrency sector is worth approximately $2.6 trillion, globally, and it’s finding fuel from venture capitalists, who poured $5.5 billion into it in the first half of last year only to come back and pump in another $17 billion in the first six months of 2021.
That sort of money has to go somewhere, and a large part of it is going to fund the mining operations. The blockchain tech behind crypto doesn’t come cheap – the server farms and mining sites require stacks of high-end computing power, and the cooling infrastructure to keep it in running. This makes Bitcoin miners huge consumers of electricity wherever they operate.
They put that power to use running the crypto mining calculations, adding more links to the blockchain and pulling another bitcoin out of the digital ether. And in doing that, the bitcoin mining companies are opening up new avenues for market investors.
Against this backdrop, we’ve dipped into the TipRanks database to pull the details on three crypto miners, to find out what’s making them tick. The platform revealed that these are Strong Buy tickers, and, more importantly, all three offer considerable upside potential. Let’s take a closer look.
Argo Blockchain (ARBK)
We’ll start with Argo Blockchain. This crypto miner is based in London and operates 45 megawatts of top-tier bitcoin mining servers in North America, with facilities in Quebec and Texas. The company’s total hashrate of 1075PH puts it in the top 0.7% of bitcoin miners globally, giving Argo a leg up in solving new blockchain calculations and reaping the rewards.
Argo has been expanding, both physically and in the markets. Back in May, the company completed the acquisition of its Quebec datacenters – and boasts that their combined 20 megawatts of power is provided mainly by clean hydroelectric generation, part of the company’s commitment to building a greener bitcoin industry. More recently, the company broke ground on a 125,000 square foot facility in Dickens County Texas, a facility that, by 2Q22, will be populated by 20,000 Bitmain Antminer S19J Pro machines. Argo announced the purchase of the machines this past September. The Texas facility is predicted to reach up to 200 megawatts capacity.
On the financial market side, Argo entered the US stock markets on September 23, with a sale of 7.5 million American Depositary Shares. The ARBK ticker entered the NASDAQ index, and the initial sale of shares on the US market, priced at $15 each, raised $112.5 million in gross proceeds.
Read More: 3 Crypto Stocks Gearing up for Gains; Analysts Say ‘Buy’