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Ault Alliance subsidiary hits $82 million Bitcoin run rate

EditorIsmeta Mujdragic
Published 04/03/2024, 06:41 AM
Updated 04/03/2024, 06:41 AM
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LAS VEGAS - Ault Alliance, Inc. (NYSE American: AULT), a diversified holding company, announced that its subsidiary Sentinum, Inc. mined approximately 105 Bitcoin in March 2024, suggesting an annual run rate of about $82 million based on the current Bitcoin price of $65,000 per coin. The mining operations were split between Sentinum's data center in Michigan and machines hosted with Core Scientific, Inc.

The company's CEO, William B. Horne, highlighted the recent installation of the first Antbox mining container at a Montana site, which is part of a strategic move to take advantage of lower power costs and to repurpose the Michigan facility for artificial intelligence data center development.

Ault Alliance has cautioned that the Bitcoin mining projections are subject to market volatility, mining difficulty fluctuations, and other operational factors. The company also acknowledged the upcoming Bitcoin halving event, which will reduce the block reward for miners, stating that it does not predict Bitcoin's price changes but is prepared to adjust its mining operations as necessary.

The press release also provided an overview of Ault Alliance's business ventures, which include operating a data center, offering colocation and hosting services, and engaging in various industries such as artificial intelligence, defense/aerospace, and medical/biopharma, among others. The company extends credit through a licensed lending subsidiary and is headquartered in Las Vegas, Nevada.

This news report is based on a press release statement.

InvestingPro Insights

As Ault Alliance, Inc. (NYSE American: AULT) continues to expand its Bitcoin mining operations and diversify its business ventures, potential investors may find the following insights from InvestingPro valuable for their decision-making process. Ault Alliance's current market capitalization stands at a modest $0.98 million USD. This relatively small market cap could indicate a higher risk profile, which is consistent with the company's significant debt burden and the challenges it may face in making interest payments on that debt, as highlighted in the InvestingPro Tips.

The company's stock has been experiencing high price volatility, with a price decrease of 19.68% over the last month and a staggering 95.05% drop over the last six months. Additionally, Ault Alliance is trading near its 52-week low, with its price at just 0.04% of the 52-week high. This level of volatility and the recent price performance could be of particular interest to investors looking for potential turnaround plays or those with a higher tolerance for risk.

Despite these challenges, it's noteworthy that Ault Alliance's net income is expected to grow this year, according to one of the InvestingPro Tips. Revenue has also seen a significant uptick, with a 75.93% growth in the last twelve months as of Q3 2023. This could signal underlying business strengths or successful strategic initiatives that may not be fully reflected in the stock price.

For those considering a deeper analysis of Ault Alliance, InvestingPro offers additional insights and metrics, including a total of 19 InvestingPro Tips for the company. Interested investors may benefit from the comprehensive data and analysis available on InvestingPro, and can use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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