Q: I'm wondering what your thoughts are on this company in general and also it's financial health and prospects going forward.
Thanks,
Thanks,
5i Research Answer:
BTCW is tiny at $37M market cap. It has revenue ($90M in 2024) but is losing money and has negative cash flow. Debt and other obligations are high at $18M. It will need more capital and has an ongoing 'at the market' program selling new shares. Sales did nearly double in the Q1. It operates a bitcoin ATM network and offers web-based transaction services. Insiders own 46% which is positive but it makes trading thin. We would consider it far too risky for strong endorsement. It will mostly move with the sector, but has not participated in the rally this year (down 2% YTD but up 30% over one year).