Shares of CleanSpark (NASDAQ: CLSK), a $250 million energy software company, fell on Tuesday. The stock fell as much as 15.1% in morning trading; as of 12:30 p.m. EDT, it was down about 13%.
The tech stock's decline followed its huge run-up over the last week, suggesting that Tuesday's pullback likely represents shares taking a breather after some incredible gains.
Shares of CleanSpark had jumped about 30% on Monday, following news that the company was providing software on a new solar and battery storage project in Central America that uses Tesla's (NASDAQ: TSLA) commercial-grade Powerpack 2 batteries for an energy storage solution.
The company noted that this was the second microgrid located in Costa Rica that uses CleanSpark's mPulse controller for a Tesla energy storage solution. Some investors may be speculating that this means CleanSpark will continue to partner with Tesla on other large commercial-grade energy storage deployments.
Shares are taking a bit of a breather on Tuesday, however. Still, the stock remains notably up a total of 30% over the last five days -- even when including today's decline.
CleanSpark's Monday announcement bodes well for the attractive value proposition of the company's patented mPulse controls, which provide market-based forecasting and operation. According to the company's press release, its controller will enable "a means of reducing utility operating costs. This is accomplished by storing and/or shifting solar production through operation of the Tesla Powerpack ensuring consistent operation and resiliency."
10 stocks we like better than CleanSpark, Inc.
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*
David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and CleanSpark, Inc. wasn't one of them! That's right -- they think these 10 stocks are even better buys.
*Stock Advisor returns as of August 1, 2020
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.