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Where I Was Wrong, and What Changed
I put a Strong Buy on CleanSpark, Inc. (CLSK) in February 2025 with the stock trading just above $10, and I remained constructive on the name
CleanSpark: The AI Story Is Real, The Payday Awaits
Summary
- CleanSpark, Inc. pivots from Bitcoin mining to AI infrastructure, highlighted by a $6.6 billion, 20-year lease with a high-grade tenant, but revenue starts in Q4 2027.
- CleanSpark’s mining business is shrinking, with Q3 2026 revenue down 30.5% YoY and hashrate growth stalled, while AI capacity remains non-revenue generating.
- Liquidity of $917 million provides near-term funding, but substantial capital outlays are required before lease payments begin, exposing CLSK to execution and bitcoin price risk.
- I maintain a Hold rating: CleanSpark’s AI story is credible but unproven, with key cash flows and conversion milestones still over a year away.
I focus on a variety of stocks but I prefer to write about oil and gas companies for now. I also enjoy studying and writing about where energy and monetary incentives intersect. I have a a bachelors and MBA although that should never replace experience and interest.Thanks for reading my articles!
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