Canaan Faces Nasdaq Delisting Threat Amid Strong Operational Growth

Canaan Inc., a prominent player in the Bitcoin mining hardware sector, finds itself navigating a critical juncture. While its core business is demonstrating significant expansion, its stock is under formal threat of being delisted from the Nasdaq exchange for failing to meet minimum price requirements.

In mid-January, the company received a notification from Nasdaq. The warning was triggered because Canaan's American Depositary Shares (ADSs) closed below the mandatory $1.00 threshold for 30 consecutive business days, breaching the exchange's continued listing rules.

This development places the firm on a 180-calendar day compliance clock. To avoid removal from the regulated market—a move that would severely impact the stock's liquidity—Canaan must see its shares close at $1.00 or higher for ten consecutive trading days by July 13, 2026.

Countering the Slide with a Buyback

In a direct response to the downward pressure on its share price, Canaan's board has authorized a fresh stock repurchase initiative. The new program, valued at $30 million, commenced in December and is set to run for twelve months. It follows immediately after a previous buyback plan authorized in May 2025 expired.

Such corporate actions are frequently interpreted by market observers as an effort to provide artificial support to a stock's price and to signal management's confidence in the company's intrinsic value. Whether this capital deployment will be sufficient to achieve lasting compliance with Nasdaq's standards is an open question.

Should investors sell immediately? Or is it worth buying Canaan?

Operational Metrics Tell a Different Story

Contrasting sharply with its stock market struggles, Canaan's operational performance paints a picture of robust growth. The company's deployed hashrate surged by 82% year-over-year to reach 9.91 EH/s. In December alone, it mined 86 Bitcoin, supported by a global power capacity that now exceeds 250.4 megawatts.

A focus on efficiency underpins this expansion. The company reports its miners' average performance at 24.3 J/TH, with energy costs held at a moderate $0.043 per kilowatt-hour. This operational strength is central to Canaan's strategy of gaining market share through hardware innovations like its Avalon A16 series. Significant orders, including a 50,000-unit deal for a U.S. operator and a strategic partnership in Texas, underscore this aggressive growth trajectory.

Further highlighting the operational momentum, the active computing power specifically for December showed a year-on-year increase of 61%, reaching 7.65 EH/s. Furthermore, the company ended the year holding substantial cryptocurrency reserves of 1,750 BTC and 3,951 ETH.

The market now awaits Canaan's next major update, scheduled for April 15, 2026, when the firm is due to release its detailed fourth-quarter and full-year 2025 financial results. These figures will provide critical insight into whether the company's fundamental strength can translate into the market valuation needed to secure its listing future.