Domo signs strategic collaboration agreement with AWS for AI solutions
On Thursday, Cantor Fitzgerald analysts raised the price target for Cipher Mining (NASDAQ: NASDAQ:CIFR) stock to $6 from $4, while maintaining an Overweight rating. With analyst targets ranging from $6 to $9, the stock currently trades at $3.74 with a market capitalization of $1.39 billion. The decision comes as the company prepares for the energization of Phase 1 at its Black Pearl site, positioning Cipher Mining to become one of the fastest-growing miners in terms of hash rate capacity this year.
Cipher Mining benefits from having one of the lowest power costs in the industry, at $0.027 per kilowatt-hour. This competitive advantage is expected to enhance cash generation as new capacity becomes operational. The company has also expressed optimism about securing an AI/HPC tenant for its Barber Lake site, which is planned for a 2025 energization. Cipher Mining has indicated that several potential tenants have signed non-disclosure agreements for the site. According to InvestingPro data, the company has demonstrated strong recent performance with a 15% return over the last week, despite operating with moderate debt levels.
Cantor Fitzgerald’s analysts have revised their revenue and adjusted EBITDA estimates upward for Cipher Mining, influenced by the recent rise in Bitcoin prices. These adjustments contributed to the decision to increase the price target.
The Overweight rating indicates Cantor Fitzgerald’s continued confidence in Cipher Mining’s growth prospects and financial performance, despite the volatility often associated with the cryptocurrency mining sector.
In other recent news, Cipher Mining Inc. reported a notable earnings surprise for Q1 2025, with adjusted earnings per share of $0.02, surpassing the anticipated loss of $0.07 per share. The company’s revenue reached $49 million, although it fell short of the projected $53.34 million. Cipher Mining also announced its plan to offer $150 million in convertible senior notes, with Morgan Stanley (NYSE:MS) as the sole bookrunning manager. The proceeds will fund Phase 1 of Cipher’s Black Pearl data center project, including mining rig purchases and infrastructure costs.
In terms of operational updates, Cipher Mining’s hashrate reached 13.5 exahashes per second by the end of May, with plans to increase this capacity to 23.1 EH/s by July. The company has completed the purchase of additional mining rigs to fully utilize the 150 megawatts of power capacity at Black Pearl. Analysts at H.C. Wainwright maintained a Buy rating for Cipher Mining, with a price target of $6.75, citing the company’s strategic initiatives and growth prospects.
Additionally, Cipher Mining has entered a joint venture with Fortress to establish high-performance computing and AI data centers at its Barber Lake facility. This strategic partnership is expected to help Cipher secure approximately 40% of future HPC economics without further capital investment. These developments indicate Cipher’s ongoing efforts to expand its infrastructure and explore new opportunities in high-performance computing.
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