3 Risky Crypto Stocks Investors Should Avoid

Bitcoin, the largest cryptocurrency, is trading in a narrow range due to the volatile economic background. Furthermore, with the disappointing global growth forecast, the crypto market may be gearing up for more volatility. Amidst this backdrop, we feel that the crypto stock Block, Inc. (SQ), Silvergate Capital (SI), and MicroStrategy (MSTR) can be avoided. continue reading….


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Ukraine’s continuing war and 40 years of high inflation Influencing cryptocurrency prices, Moreover, the leading cryptocurrency, Bitcoin, recently fell below $23,000 after Q2 Gross Domestic Product report good. Bitcoin has not remained above $50,000 since the end of December 2021. The cryptocurrency is trading in a tight range of $22,000-$25,000.

Bitcoin fell again on Thursday On US labor market numbers that indicate a weak market. on top of it, Adding Volatility to the Crypto Market The IMF estimates that economic growth will slow to 3.2% this year from 6.1% last year.

The broader economy may impact the performance of riskier assets in the near term. Therefore, we think the crypto stock Block, Inc. ,square), Silvergate Capital Corporation (SI), and MicroStrategy Incorporated (mstr) is best avoided now.

Block, Inc. ,square,

SQ provides tools that enable vendors to accept card payments and provide reporting and analysis and next day settlement. The company’s hardware product offerings include magstripe readers and contactless and chip readers, and it offers software products including Square Point of Sale, Square Appointments, and Square for Retail.

For the second quarter of the fiscal year ended June 30, SQ’s total net revenue declined 5.9% year-over-year to $4.40 billion. Adjusted net income decreased 56.8% from the prior-year quarter to $110.74 million. Adjusted net income per share came in at $0.18, down 63.3% from the same period last year.

Analysts expect SQ’s revenue to increase marginally year-on-year to $17.76 billion for fiscal 2022.

The stock is down 66.3% over the past year and is down 44.5% year-over-year to close its last trading session at $89.70.

square power rating Reflect on this bleak outlook. The stock has an overall F rating, which equates to a strong sell in our proprietary rating system. The POWR rating is calculated by considering 118 different factors, each factor weighted to an optimum degree.

In SQ, F has stability grade and D has growth, value and sentiment grade. 109 in stock Financial Services (Enterprises) industry, it is ranked #103. The industry has been given D status. click here To see additional POWR ratings for SQ (speed and quality).

Silvergate Capital Corporation (SI,

SI is the bank holding company of Silvergate Bank that provides banking products and services to business and personal customers in the United States. The company accepts deposit products and offers loan products.

SI’s total interest expense rose 262.7% year-over-year to $1.04 million in the second quarter of the fiscal year ended June 30. Total non-interest expense increased 42% from the prior-year period to $30.55 million.

The stock is down 30.7% year-over-year and 8.1% over the past six months and closed its last trading session at $102.68.

The overall D grade of SI translates to sell in our power rating system. In stock there is an F grade for price and stability and a D for quality.

42 to SI. Ranked #41 out of Pacific Regional Bank industry stock. To see additional POWR ratings for Growth, Momentum and Sentiment for SI, click here,

MicroStrategy included (mstr,

mstr is an enterprise analytics software and services provider. The company’s offerings include MicroStrategy, an enterprise platform that provides a modern analytics experience. It also provides microstrategy support that helps customers and improves the overall experience.

For the second quarter of the fiscal year ended June 30, MSTR’s total revenue declined 2.6% year-on-year to $122.07 million. Non-GAAP net loss and non-GAAP loss per share came in at $1.05 billion and $92.81, up 262.8% and 212.9% from the prior-year period.

The consensus EPS estimate of $0.49 for the quarter ended September 2022 indicates a decrease of 73.7% year-over-year. Similarly, consensus revenue estimates for the same quarter of $127.58 million reflect a slight decline from the prior-year period.

MSTR stock has closed its last trading session at $309.31, down 53.9% over the past year and 43.2% year-over-year.

It should come as no surprise that MSTR has an overall F rating, which equates to a strong sell in our proprietary rating system. The stock has F’s sentiment and quality grade and D’s value, momentum and stability grade. In F-Rated, 154-Stock software application Industry, it ranks last.

In addition to the PoWR rating grades mentioned above, one can view the rating of MSTR for the development Here,


SQ shares were trading up $1.31 (+1.46%) on Friday morning at $91.01 per share. Year-on-year, the SQ has declined -43.65%, while the benchmark S&P 500 index has gained -12.34% during the same period.


About the author: Anushka Dutta

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Anushka is an analyst whose interest in understanding the impact of macroeconomic changes on financial markets inspired her to pursue a career in investment research.

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