CleanSpark, Inc. (NASDAQ:CLSK) is possibly approaching a major achievement in its business, so we would like to shine some light on the company. CleanSpark, Inc. operates as a bitcoin miner in the Americas. The US$3.3b market-cap company posted a loss in its most recent financial year of US$132m and a latest trailing-twelve-month loss of US$76m shrinking the gap between loss and breakeven. The most pressing concern for investors is CleanSpark's path to profitability – when will it breakeven? Below we will provide a high-level summary of the industry analysts' expectations for the company.

Consensus from 6 of the American Software analysts is that CleanSpark is on the verge of breakeven. They expect the company to post a final loss in 2023, before turning a profit of US$54m in 2024. The company is therefore projected to breakeven around a year from now or less! We calculated the rate at which the company must grow to meet the consensus forecasts predicting breakeven within 12 months. It turns out an average annual growth rate of 82% is expected, which is rather optimistic! Should the business grow at a slower rate, it will become profitable at a later date than expected.

We're not going to go through company-specific developments for CleanSpark given that this is a high-level summary, though, keep in mind that typically a high forecast growth rate is not unusual for a company that is currently undergoing an investment period.

Before we wrap up, there's one aspect worth mentioning. The company has managed its capital prudently, with debt making up 1.8% of equity. This means that it has predominantly funded its operations from equity capital, and its low debt obligation reduces the risk around investing in the loss-making company.

Next Steps:

There are too many aspects of CleanSpark to cover in one brief article, but the key fundamentals for the company can all be found in one place – CleanSpark's company page on Simply Wall St. We've also put together a list of pertinent aspects you should look at:

1. Valuation: What is CleanSpark worth today? Has the future growth potential already been factored into the price? The intrinsic value infographic in our free research report helps visualize whether CleanSpark is currently mispriced by the market.
2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on CleanSpark's board and the CEO's background.
3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.