CLSK
CleanSpark, Inc.
$10.49
Banks, Insurers & Asset Managers
85%
P/Tangible Book × ROE Quality
Mild
·
Conviction
Fair Value
Trading 4.8% below fair value
You pay
$10.49
Bear
$7.48
Fair
$11.03
Bull
$13.16
Bear
$7.48
-28.8%
ROTCE 13.4% → 0.94x TBV
Fair
$11.03
+5.1%
ROTCE 17.9% → 1.39x TBV
Bull
$13.16
+25.4%
ROTCE 20.6% → 1.66x TBV
Adjust Assumptions
17.9%
14.0%
Key Value Driver
ROTCE (17.9%) vs. cost of equity (14.0%)
Implied Market Multiple
1.32x
Analyst Consensus (External Reference)
Never blended into the bear/base/bull estimates above.
Average Target (11 analysts)
$22.00
Divergence from AlphaVal
50%
Summary
With ROTCE of 17.9% vs. 14.0% cost of equity, fair P/TBV is 1.39x on $7.94 tangible book, implying $11.03 per share.
Warnings
Traditional cash flow models don't work well for banks — lending activity distorts how much cash the business actually generates.
Common valuation shortcuts don't apply here — for banks, interest payments are a core business cost, not overhead.
Wall Street's average price target is $22.00 (from 11 analysts). Our estimate is 50% below the consensus -- consider that gap carefully.
Key Risks
- Book value quality matters as much as level — check loan loss reserves
- Interest rate sensitivity creates non-linear earnings surprises
- Insurance reserving is actuarial, not financial — errors emerge slowly