Given that
-gpus depreciate in value pretty fast
-older gpus get lower demand/price over time
-WACC is quite high (debt is high)
-maintenance costs are high
-r&d cost is high
-initial project cost is very high
And most importantly::: these companies will struggle to charge customers high due to pricing competition with each other.
I strongly suspect that the currently these companies are over valued based on their standard project net present value (project value minus discounted cash flow) is not as positive to justify curret valuations multiples.
You will end up being long time investor (bagholder).
Warm regards,
Retail invester with YTD 80%
Posted by desiyouyo
1 Comment
$iren is crypto bros trying to pump their shit with hopium, $crwv is again cryptobros balls deep in debt, not sure about $apld but check yesterday news about $nbis and you will know its thr only real peek here