LM Funding America Inc (LMFA) Quote

Warrant holder tax harvesting...

Stock 52W low

Salaries/bonuses doubled.

Adding anything under $2.75! What a gift!

Name and Principal Position Year ($) ($) ($) ($) ($)(1) ($)
Bruce Rodgers
2023 $ 825,000 $ - $ 488,345 $ 356,503 $ 24,860 $ 1,694,708
Chairman, CEO and President
2022 $ 750,000 $ - $ - $ - $ 10,571 $ 760,571
Richard Russell
2023 $ 550,000 $ - $ 488,345 $ 356,503 $ 48,467 $ 1,443,315
Chief Financial Officer
2022 $ 500,000 $ - $ - $ - $ 32,559 $ 532,559
Ryan Duran 2023
$ 192,500 $ - $ 122,086 $ 89,126 $ 40,217 $ 443,929
Vice President of Operations
2022 $ 175,000 $ 75,000 $ - $ - $ 32,559 $ 282,559
(1) These amounts consist of health insurance premiums, dental & vision insurance premiums paid by the Company in excess of non-executive contribution and 401K Company match.

This stock is set up to make 1 person wealthy. The one that received 500k common, 1.7M warrants, and 3.4M warrants at $3

When the share structure was 2.2M to begin with.

Should just go private. If they invested the 35M in 2021 in btc it'd be worth over 150M.

Instead they have what they have and worth 90% less, 15.

Another weak management team with poor execution.

Dead money.

3.4M more. Ouch

5.1M in proceeds for 3.4M in shares.

Definately had bad timing and short changed themselves. Options were written when btc was 60 not 100.

That's why its not moving.

An investor got 3.4M share rights for 5.1M usd. What they plan to do with them will be up to them. I'm assuming Maxim will receive a set amount they want to sell or an amount of USD they want to recoup and potentially hold the rest as an investment.

Or sell them all and crash the share price. Divided out if they pay 5.1M to LMFA they own those 3.4M share rights at only about 1.495/share.

Could of done way better!

New shares structure roughly 6.8M shares.

Company has another 5.1M in cash. Plus the millions on the balance sheet, plus the 15M in bitcoin, the 15MW mining facility, and 6000 s19 and s21 miners.

When they are fully operational in January they should mine about 15 BTC a month. Or about 1.5M usd at current levels, 4.5M a quarter, 18M a year.

Mining costs are roughly half of the value. So 9M. Plus 5M in operations, salaries, etc.

2025 without any change in btc price should be about 4M before interest Depreciation and taxes etc.

About .80/share.

6.5m times 3 dollars a share = 19.5M market cap. Trading at 5x forward earnings (2025).

Dilution continues..

Its odd crypto all tripled and that's literally all this company does. Tech company's get rewarded for sourcing cheap energy, they have done that too with the new plant in Texas.

Re-evaluation is imminent. Will happen quickly when it does.

Management definately short changed themselves. Borrowed 5M and raised another 3 with common and warrant options at a depressed cheap price. Rigs are still offline with btc at 100k.

A capital raise like 2021 for nearly 40M should of been very simple. They need to focus on stock price and raising the market cap for access to capital vs sucking out all the cash to pay executives as #1 priority when a btc gets minted.

They are still operating like a small timer and that is why they get no respect from the market.

I suspect dilution until that 1.7M in warrants are converted and sold as common. Until that ends it will remain around $3 share. Exercise price is 2.98

New filing

Notice of effectiveness filed S-3 for LMFA

A "Notice of Effectiveness S-3" refers to a notification from the Securities and Exchange Commission (SEC) that a company's Form S-3 registration statement, used for shelf offerings of securities, has become effective, meaning the company is now permitted to sell the registered securities to the public whenever they choose within the shelf registration period; essentially, it signifies that the SEC has reviewed and approved the company's offering details and the securities can be sold immediately upon filing a prospectus supplement with specific offering terms.

After the shareholder meeting volume has been elevated. The last round of funding was 550k shares or so plus 1.7M in warrants that can be exercised at 2.98

Since 1.7M was more than 19.99% of shares outstanding it needed approval. It got approval at that meeting.

Liquidity is being added with these warrants converting into shares. If they exercise all of them outstanding shares will be about 5M.

That is why the Share price has not been heading higher.

Nice Bitcoin miner low floater when they feel like it passes $3.61 resistance goes to $5 next 

Loading heavy here :) gonna be a good start to 2025 with this one 💪

The registrant had 3,397,042 shares of Common Stock, par value $0.001 per share, outstanding as of November 13, 2024.

Times $2.65/share = $9,002,161 market cap.

I suspect it's now over 4M outstanding. This is based on the approval of the warrant exercising and the additional volume of trading last week.

If all warrants exercise, total shares outstanding will be just over 5M shares.

The stock is being shorted and shares will be covered with the exercised warrants. It's why shorted shares have exploded this week. The new 10% owner (6B hedge fund) and Maxim are probably the guilty parties.

The MM is making $ on the way down. When finished they will make it on the way up.

If all warrants are converted, outstanding shares will move from 2.7M to about 4.5M shares.

LMFA will have received another 6M in cash.

It is safe to say they will have about 24M in cash and BTC to start 2025. Less roughly 4M to pay off the 15MW plant. 20M

4.5M shares times 2.50 a share is 11.25M market cap right now. So it's not as low as some appear.

They have been diluting all week. But cap is still around 50% BTC + Cash based on new developments.

IMO they short changed themselves not anticipating this giant move in BTC so early. Regardless, they are set up very nicely for 2025.

BTCT probably has no cash, last report they had less than 1M in bitcoin, and no 15MW plant. Not to mention a shady Chinese company.

You can read online that to build 1MW from scratch and provide 300 miners for that MW to power and mine...it costs roughly 2.5M USD

Times 15. 100% owned and paid for.

The reason it's falling is because a warrant holder is executing at 2.98

They are raising more $. Should have another 5,000,000 soon. They had a shareholder meeting Friday and the execution of up to 1.7M warrants was approved.

Lmfa will head into the weekend another 5M cash on hand. A PR of the closing of warrants and cash raised will follow I presume.

Estimating they will have north of 20M cash and bitcoin on hand.

1 MW Container holds approximately 300 next generation BTC miners. A MW buildout can run 250,000-750,00 depending on equipment and contractors.

Equipped with approximately 300 S19 Pro miners – $2,850,000 - $3,250,000 (assuming $9500/miner, these prices change often)

Monthly managed OPEX cost – $34,560 (300 miners x .05 cents x 3.2kw x 24 hours x 30 days/month)

LMFA has the miners. Now has the 15MW operations (just have to swap out the current partners miners with their own once they vacate) it's safe to assume 3M times 15 = 45M facility which includes the miners.

I repeat.

$45,000,000

All miners paid in full. 15MW facility paid in full in January. The balance due is a fraction of cash and BTC on hand.

This is beyond dirt cheap.

500X the intrinsic value of BTCT. All smoke and mirrors over there. .0001/share inevitable with that one.

Thats exactly how I see it. Been loading and loading. Looks like go time is finally here!

LMFA Long and Strong!

LMFA...........................https://stockcharts.com/h-sc/ui?s=LMFA&p=W&b=5&g=0&id=p86431144783

Wow. 16M in cash and btc as of 9.30

Tack on another 25,000 to the price of btc is another 3.75M

Lmfa has 20M in cash and btc. 6000 miners. A 15MW joint venture. 2.7m share float. And a 9m market cap.

10-30x inevitable.

Anyone would be insane not to jump on this.

Q3 will be a loss:

1. Took miners offline and moved then to a new facility. So thousands were not running during the quarter and btc mined fell as a result

2. Built out the 15MW mining plant

3. Setting up a new facility.


Q4 revenue estimates should be 7-8M. 4-5M profit.

150 btc * 85000 = 13M holdings

6/30 btc was 62k, now 84k

150 * 22k = 3.3M revenue gain since 6/30.

Bitcoin mined since 6.30 (while moving machines into new 15MW plant) = about 40.

40 * 84000 = 3.3M estimated.

It's reasonable to say LMFA has revenue recognition of nearly 7M the last 4 months. While thousands of miners were being moved and set up in a new facility. BTC production should be doubled moving forward - without any additional miners.

BTC Miners after Depreciation captured - 21M as of 6.30.24

Revenue the last 4 months during transition: 7M
BTC holdings: 13M
Miners FMV as of 6.30: 21M

Miners + BTC holdings alone are worth 34M today

Estimated revenue in 2025 w/BTC going to 100k

150 BTC mined = 15M
Gain on BTC = 3-10M
2025 Revenue = 18-25M
Estimated 2025 BTC + Miners + Cash = 50M

Even at 20% profit margins at 18-25M is 3.6-5M.

PE 20 = market cap of 72-100M.
PE 40 = market cap 144 - 200M

9M today.

Potential 9-22x.

If btc price holds, gain on btc holdings + bitcoin mined could exceed 8M revenue in Q4.

Considering just operating costs (taking out plant infrastructure for example). Net profit could exceed 4-6M for the quarter. That is q4. Not q3 to be reported wens.

Market cap 8M.

New 15mw plant has capabilities of mining 150-200 btc a year at full capacity. Roughly 15M. Excluding potential revenue of the rise in value of btc holdings. Cost to mine a btc with s19s is roughly 45k.

Forward PE currently for the entire year with q1 gain q2 and q3 loss and q4 forecast - is 1x

Forward potential PE is even less.

Even a 15 PE would value this at $45 a share.

It's no wonder the execs hold options at $30/share.

Big pay day inevitable.

Lmfa held a shareholder meeting on Friday.

Expect a quarterly report and the results of the annual shareholder meeting next week.

Assume they have about 3-4M in cash (2.8M capital raise + 5M loan secured with bitcoin holdings less operating costs and 15MW plant buildout) and 12M in Bitcoin.

Price target is $10/share short term.

On August 16, 2024, LM Funding America, Inc. (the “Company”) and an institutional investor (the “Purchaser”) entered into a securities purchase agreement (the “Securities Purchase Agreement”), pursuant to which the Company agreed to issue to the Purchaser, (i) in a registered direct offering, 278,000 shares (the “Shares”) of the Company’s common stock, par value $0.001 per share (“Common Stock”), and pre-funded warrants to purchase 590,185 shares of Common Stock (the “Pre-Funded Warrants”) with an exercise price of $0.0001 per share, and (ii) in a concurrent private placement, Series A warrants to purchase 868,185 shares of Common Stock (the “Series A Common Warrants”) and Series B warrants to purchase 868,185 shares of Common Stock (the “Series B Common Warrants” and together with the Series A Common Warrants, the “Common Warrants”), each with an exercise price of $2.98. Such registered direct offering and concurrent private placement are referred to herein as the “Transactions.” The combined effective offering price for each Share (or pre-funded warrant in lieu thereof) and accompanying Series A Warrant and Series B Warrant in the Transaction was $2.98. The Transactions closed on August 19, 2024.

The Company received aggregate gross proceeds from the Transactions of approximately $2.6 million, before deducting fees to the Placement Agent (as defined below) and other estimated offering expenses payable by the Company. The Company currently plans to use the net proceeds from the Transactions for general corporate purposes, including working capital, development and/or acquisition of hosting sites, and funding the purchase of additional Bitcoin mining machines.

The Company filed a registration statement on Form S-3 (File No. 333-258326) with the Securities and Exchange Commission (the “Commission”) on July 30, 2021, which was deemed effective on August 16, 2021 (the “Registration Statement”). Pursuant to Rule 415(a)(5) under the Securities Act of 1933, as amended (the “Securities Act”), the Company intends to continue to offer and sell the unsold Securities under the Registration Statement until the earlier of (i) the date on which the registration statement filed with the Commission on August 13, 2024, is declared effective by the Commission, and (ii) February 12, 2025, which is 180 days after the third-year anniversary of the effective date of the Registration Statement. The Shares and Pre-Funded Warrants were offered by the Company pursuant to the Registration Statement and that certain prospectus supplement dated August 16, 2024, filed by the Company with the Commission under the Securities Act on August 19, 2024.

The Common Warrants and the shares of Common Stock issuable upon exercise of the Common Warrants (the “Common Warrant Shares”) were issued in a concurrent private placement and have not been registered under the Securities Act, and are instead being offered pursuant to the exemption provided in Section 4(a)(2) under the Securities Act and/or Rule 506(b) promulgated thereunder. The Common Warrants will be exercisable commencing on the effective date of stockholder approval for the issuance of the shares of Common Stock issuable upon exercise of the Common Warrants (the “Stockholder Approval Date”). The Series A Common Warrants will expire on the fifth anniversary of the Stockholder Approval Date and the Series B Common Warrants will expire on the second anniversary of the Stockholder Approval Date. The Pre-Funded Warrants will not expire and will be exercisable commencing on the date of issuance and at any time until all of the Pre-Funded Warrants are exercised in full. If, at the time of exercise a registration statement registering the issuance of the shares of Common Stock underlying the Common Warrants under the Securities Act is not effective or available, the holder may, in its sole discretion, elect to exercise the Common Warrants through a cashless exercise, in which the holder would receive upon such exercise the net number of shares of Common Stock determined according to the formula set forth in the Common Warrants. Further, if the Company sells, enters into an agreement to sell, or grants any option to purchase, or sells or grants any right to reprice, or otherwise disposes of any shares of Common Stock or Common Stock equivalents, at an effective price per share less than the exercise price then in effect, then the exercise price of the Common Warrants will be reduced to such price.

Estimating 150 BTC. At 74k. Over 11M in treasury.

Market cap 8m.

Price per share = to bitcoin treasury is $5 a share.

They have also been depreciating 6000 btc miners that were purchased for nearly 30M. Mainly S19s but added 300 21s recently. Only thing holding this back is the 4-5M a year they pay out in payroll each year. Market cap is penalized because of that, which reduces their ability to raise substantial capital for expansion. A new president of mining was announced late October. 15MW plant should be operating at less than capacity running thousands of their miners at this point. Sub mersion mining should be functional and reducing utility costs. Received 5M in loans. Additional capital from stock issuance and warrants. Warrrant execution will provide additional capital for expansion. They have voting matters at an annual meeting. It either just occurred or occuring this week. BTC touched all time high this morning. Looking good here. Hope you added around $2. Going to 5 then 10.

The 10x sound Grand to Me, likey the SS
Wont take much to Lift pps , to bad i got caught in rs.

1 MW Container holds approximately 300 next generation BTC miners – $150,000 usd. Equipped with approximately 300 S19 Pro miners – $2,850,000 (assuming $9500/miner, these prices change often) Monthly managed OPEX cost – $34,560 per MW container.

15 MW plant with 4500 miners start up cost is $42.5M. Plus 8.5M in BTC on hand.

Functional 15 MW plant operating 4500 S19 miners plus bitcoin on hand, fair value about $50M.

Market cap $7M

10X inevitable.

One thing is certain...

Wallstreet gives 0 respect/credit to the management here!

New stats

2.6M raise
5M loan
2M in btc sales

Approximately 10M cash raised last couple of weeks. 130 btc worth 8M. Nearly 6000 miners (s19s)

Recent build outs of plants is 275-300k usd a Megawatt. Last btc miner purchase of s21s was 300 north of 1M usd.

Even with 10M liquid and 8M bitcoin, with the losses just from operations and paying executives/staff...this only buys time.

Need 10s of millions minimum to even make a dent in the space. If not 100s of millions.

I do expect a jump in the stock. Lots of new warrants now at 2.93 a share. The company will want/need the cash and the investor will want to cash some out.

Wouldn't be surprised to see double digits by year end.

Revenue estimate: 24 btc mined at 65k average - 1.56M. Avg btc was 53k first quarter and 65k second quarter. Between 130 (end of July) - 160 most of the quarter btc holdings. Not sure how that is calculated. Say 150 btc times 12k gain. 1.8M gain to offset operating costs

1.8M gain + 1.56M mined + Misc interest income on loans. Roughly 3.5M to offset expenses.

Payroll last period 1.2M
Depreciation 2.4M
Mining costs (was half of revenue) so 800k this period
Operating costs, sales, misc another 1.5M
Impairment charge 1M

Totals costs est 7M
Revenue and offset gain: 3.5M
Loss for quarter: 3.5M

Got a loan for 5M
Sold 35 btc for 60K to raise 2.3M
130 btc Holdings remaining 7.8M

Need major capital raise for operations and expansion. Btc mining got expensive in a hurry with the halving dropping rewards. Company was forced to sell nearly 25% of all holdings in a single quarter to maintain operations.

Building a 75mw plant is roughly 300k a MW

Build out will be 22M to maximize the capacity, without miners to occupy it.

May look rich in equity on the balance sheet and btc holdings, but this company needs cash in a hurry. Days are numbered..

Sell some bitcoin, stop lending out money, and start buying back the stock.

LMFA executives receive 50% and 55% bonuses compared to annual salaries while the stock is down 83% in 3 years and 90% in 5 years is another reason investors don't buy the stock.

They pay themselves on the backs of investors who are not reward...

Will it change? Or stay the same?

Interesting quarter.

Based on an average btc price of 67,500 for the period, even though btc mining was reduced due to the halving and moving mining perations...still reached 3M in revenue for the quarter. Revaluing btc holdings as additional income, btc had an average price of roughly +14,000 higher than last quarter. Times 160. Another 2.2M

Q3 should come in around 5.2-5.5M
Operating costs last quarter were about 4.3M
Estimated earnings for the quarter 1M
Added to last quarters 1.9M for the first 6 months of the year they have a GAAP profit of roughly 3M in 6 months. Market cap is less than 10M. Which is less than the amount of btc held in treasury.

Valuation does not take I to account the partnership of the new 15MW plant. The 5000+ miners that, according to online reports, thebs19s they have still operate at a profit when btc is above 54,000/coin.

The stock price is really limiting growth for thus company. Management is looking for a loan to acquire additional miners because at current levels, raising 5M would dilute ownership 50%.

When they raised 35-40M in 2021 they had nothing going on. Zero bitcoin. Zero miners. Some interest in Borqs (that went defunct). And a SPAC in the works but not yet allocated to. Company to bring public. However, valuation was nearly 100M at one point. 10x current levels.

They keep pointing out their company is worth $15-$16 a share book value. Announcing a share buy back and allocating a couple million to buying back shares would go a long way with this micro cap.

Microstrategy borrows 100s of millions to buy btc, why can't LMFA borrow or use some treasury to buy back it's own stock?

At least they could shoot for an offering down the road to expand. They just don't have any interest in the company from investors.

So they continue to chug along...printing money...paying themselves...with the miners investors funded 3 years ago...who are down 95%

Can they turn it around? Can they be trusted?

Time will tell.

Cheers.

Expecting news on the 15MW plant and the shift of 3000 miners to the site. BTC production was probably at a minimum transitioning the miners to the new site. Estimating maybe only 10 were mined last month as they made the transition.

I suspect the plant and mining operations update will be combined in the same PR within the next few trading sessions.

The ICU position for the company is also looking very good. Their recent offering funds their commercialization rollout of recently approved products.

Both RS have been completed. Seems like the bottoms were established earlier this year.

See how they perform in the upcoming weeks/months ahead..

Cheers.

This is interesting after reading about it.

1.5M loan given to a company in live stock and furs at a good APR

2.5M loan given to a company to build out a btc hosting center.

4.5M in revenue last Q at 53k a btc. After halving Q2 maybe 58 btc minted. Still around 4M at 68k a coin average. Two new loans say 12% on 4M. Another 40k a month in interest income. Starting June....3000 miners operating at cost at 15mw plant, loan secured with company assets...

Balance sheet appears to have 2M in liabilities. Nearly 40M in assets. Consisting of btc (11M) btc miners (20M after depreciation), AR in notes to the above mentioned companies, and Misc.

Through their SPAC they took ICU public...and looks like they own nearly 6 million warrants still and about 3% of the company in common shares. ICU has moved from $2s to nearly $8 this week. Warrants moving much much higher as well...

Furthermore, it appears the CFO and CEO purchased options at $30 a share here. They spent maybe 100k usd each on those rights.

Lastly, the RS and recent run in stock price has it at or above $5. Making it available for more funds and traders...

They plan on closing on a 15mw plant by month end. Sights on a 60mw plant. Each mw is about 275,000 usd to bring online. So maybe 12M usd is needed for 60mw. Maybe new s21 miners to occupy it. Their offering in 2021/2022 was around 35M. They eventually got delivered and running about 6k miners. 3k of those are going to the 15mw plant in July. What would go in the 60mw? Hosting? Own miners? Unclear.

Own miners they would need another 20M for purchasing them and working capital. With the new plant, 30-40M capital raise minimum to expand btc operations. With a 12M market cap? Doesn't sound possible. Unless shares rise to the 30 range for a 70M cap. Then it's more than reasonable.

Seems to be alot of meat on this bone. Unfortunately the street isn't convinced on the management, excessive operating costs primarily salaries and SGA, may have a sour taste in its mouth from the last raise, the -90% return, and enriching themselves on the execution of the plan vs rewarding shareholders that provided the funding.

Maybe they'll look to increase shareholder value this time. They have been living very well since the miners went online...but will they take it to the next level? History has said they do not...but it may be time.

I suspect a capital raise this year after a stock run up.

Management has to show some returns to investors to be rewarded with another hefty raise. Maybe they redeem themselves this year..

LMFA.....................https://stockcharts.com/h-sc/ui?s=LMFA&p=W&b=5&g=0&id=p86431144783

GO CUBBIES @ rEDDs $$LMFA

Like to see the 20’s fell asleep holding pre split. Back in the Green

Big news out today for sure! Heading north of $20 with the completion of the expansion!

Easy buy and hold! I even grabbed more today too. Very happy with my large position here!

Yes Yes keep thee Press Rollin

Up up and away!!! Simply printing money here!

Definitely some upside for this one!

LMFA.........................................................https://stockcharts.com/h-sc/ui?s=LMFA&p=W&b=5&g=0&id=p86431144783

Good luck with that short! Another +14.07% today. And still massively undervalued by many market standards.

It's energy intensive and no need. Technology has evolved. Samething can be done without mining.

But mining is going bye bye… the blockchain has evolved.

You mean its been criminalized. Part of what makes the Bitcoin blockchain so safe is the mining process. And across the world, governments are getting on board, because of the mining process. That wont be going away. Not in our lifetime. And after all 21M coins are mined(predicted to be in 2140), there will still be fees gathered by the former miners.
But nice try. Please wait to cover that short. Let them burn higher!

But mining is going bye bye. This will be a great short one day. All miners will be! Bitcoin is equivalent to the 8 track. A relic. Blockchain has evolved. No need for mining any-longer.