Canaan Inc. (CAN), a leading manufacturer of cryptocurrency mining equipment, saw its stock soar 5.57% in pre-market trading on Thursday. This surge follows a substantial 14.96% rally in post-market trading on Wednesday, driven by a positive analyst action from B. Riley.

The financial services firm B. Riley has raised its price target on Canaan from $2 to $3 while maintaining a Buy rating on the stock. This upward revision represents a significant vote of confidence in Canaan's future prospects and growth potential. The new target price of $3 implies considerable upside from the stock's previous closing price, potentially attracting increased investor interest.

While the crypto mining hardware sector is known for its volatility, often moving in tandem with cryptocurrency prices and mining profitability, this analyst upgrade suggests a more optimistic outlook for Canaan. Investors should keep an eye on upcoming company announcements and industry trends for a more comprehensive understanding of Canaan's position in the market. As always, it's advisable to conduct thorough research and consider broader market conditions before making investment decisions.