"For Cipher Digital, Keefe Bruyette reduced its 2026 and 2027 revenue and EBITDA estimates, pointing to three drivers: reduced hash price, the company's anticipated exit from bitcoin mining in 2027, and higher spending. The firm lowered its price target to $20 from $22 but maintained its Outperform rating."
"For TeraWulf, Keefe Bruyette cut its price target to $23 from $24, trimming EBITDA estimates to reflect higher spending and equity-method accounting for the Abernathy joint venture. The firm also noted it sees TeraWulf exiting mining by year-end. Like Cipher, the rating stayed at Outperform, with the analyst framing the 23% share pullback from the 52-week high as an 'appealing buying opportunity.'"
"The core bull case rests on the analyst's view that the market is overly discounting Cipher's existing leases or being too conservative on its 2026 leasing activity. Like Cipher, the rating stayed at Outperform, with the analyst arguing that investors are over-discounting current lease value or adopting an overly conservative view of the company's 2026 lease signings."
Keefe Bruyette reduced price targets for two bitcoin-mining companies transitioning to HPC infrastructure. Cipher Digital's target fell to $20 from $22, while TeraWulf's dropped to $23 from $24. Both cuts reflect lower hash prices, higher capital spending, and anticipated exits from bitcoin mining. Despite the reductions, the firm maintained Outperform ratings on both stocks. The analyst argues the market is overly conservative on the value of existing HPC leases and 2026 leasing prospects. TeraWulf's 23% pullback from its 52-week high is characterized as an appealing buying opportunity, with the analyst believing investors are discounting current lease value too heavily.
Read at 24/7 Wall St.
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