LM Funding America, Inc. (LMFA) stock rallied today following the announcement of business expansion by launching Cryptocurrency Mining. LMFA stock price saw a push of 6.71% to reach $4.77 a share at the time of this writing. The stock was red in the previous trade and went down by 7.6% at closing. Let’s take a deep look at this stock
LM Funding America, Inc is a specialty finance stock based in Tampa, Florida. It helps non-profit community associations in various states of America via funding.
3 Tiny Stocks Primed to Explode The world's greatest investor — Warren Buffett — has a simple formula for making big money in the markets. He buys up valuable assets when they are very cheap. For stock market investors that means buying up cheap small cap stocks like these with huge upside potential.
We've set up an alert service to help smart investors take full advantage of the small cap stocks primed for big returns.
Click here for full details and to join for free
LMFA stock to launch Cryptocurrency Mining:
Today on September 15, 2021, LM Funding announced the expansion of its business by launching Cryptocurrency mining. In connection with this, LMFA stock bought 1,000 S19J Pro Miner Machines (S19J) (100 TH/s) from Bitmain. The total purchase price of 1,000 S19J Pro Miner Machines is $6.3 million. The S19J machine is highly efficient having a maximum high hash rate of 100 TH/s and 3,000 W power consumption.
US Digital Mining and Hosting Co., LLC is the newly established subsidiary of LMFA stock that will run the new mining business. It is currently in the process to establish a new data center for the hosting of pro miner machines. The company is anticipating delivering newly purchased 1000 miners in the second and third quarters of 2021. The mining operations are hoping to start in the second quarter of 2021.
Financial View of LMFA stock:
- LM Funding reported a net income of $11.1 million or $2.05 per basic and diluted share in the second quarter of 2021. Net income for the first half of 2021 was $15.5 million or $2.96 per basic and $2.95 per diluted share.
- LM Funding stock had $22.2 million in cash by the end of June 2021 compared to $11.6 million as of December 31, 2020.
- As of June 30, 2021, LM Funding had a working capital of $29.7 million.
- Common outstanding shares were 5,414,296 as of August 6, 2021.
The launch of Cryptocurrency mining is an important operational development of LM Funding. The stock is looking forward to pursuing the opportunities in order to expedite the start of its mining operations. The Chinese exit from Bitcoin mining has made the opportunity for the companies like LM Funding to take advantage of the cryptocurrency mining business. The management is hopeful that bitcoin mining operations will vertically integrate the operations of the LMFA stock in other areas of the Bitcoin ecosystem.