Bitdeer announces new $20 million share repurchase program

SINGAPORE - Bitdeer Technologies Group (NASDAQ:BTDR), a global blockchain and high-performance computing firm with a market capitalization of $2.1 billion, completed a share repurchase of approximately $9.0 million on Monday. The stock, which has seen a significant 66.5% gain over the past six months despite a challenging year-to-date performance, currently trades at $10.89. According to InvestingPro analysis, the stock is currently trading near its Fair Value. This move exhausts the company’s previously authorized $10 million program from September 2024. Following this, Bitdeer’s board has approved a new buyback plan to repurchase up to an additional $20 million of its Class A ordinary shares, starting today and extending through February 28, 2026.

The repurchase strategy permits Bitdeer to acquire shares through open market transactions, privately negotiated deals, or other legal methods in line with federal securities regulations. The specifics of the buyback, including the number of shares and timing, will depend on market factors such as share price, trading volume, and general market conditions, as well as the company’s working capital needs, business conditions, and legal compliance. InvestingPro data shows the company maintains a strong liquidity position with a current ratio of 14.58, and importantly, holds more cash than debt on its balance sheet. For deeper insights into Bitdeer’s financial health and 14+ additional ProTips, consider exploring InvestingPro’s comprehensive analysis.

Funded by its existing cash balance, Bitdeer aims to execute the share repurchase program gradually to mitigate the impact on its share price and enhance long-term shareholder value. The board will periodically review the program and retains the right to modify, suspend, or discontinue it at any time.

Bitdeer, headquartered in Singapore, is a leader in providing comprehensive computing solutions, including equipment procurement, datacenter design and construction, equipment management, and operations. It also offers advanced cloud services for artificial intelligence applications. The company operates datacenters in the United States, Norway, and Bhutan. While the company reported revenues of $349.8 million in the last twelve months, analysts are optimistic about future growth prospects. Discover more detailed insights about Bitdeer’s performance and potential in the comprehensive Pro Research Report, available exclusively on InvestingPro, along with in-depth analysis of 1,400+ other US stocks.

This news is based on a press release statement and reflects the company’s current plans for its share repurchase program. Investors are reminded that forward-looking statements are subject to various risks and uncertainties, and actual results may differ materially. Bitdeer disclaims any obligation to update these statements and advises that information posted on its social media channels should not be considered current or accurate post-publication.

In other recent news, Bitdeer Technologies Group reported its fourth-quarter earnings for 2024, revealing a significant decline in revenue to $69 million, down from $114.8 million the previous year. This revenue shortfall was accompanied by a notable miss on earnings expectations, with earnings per share (EPS) coming in at -$3.22, well below the anticipated -$0.1604. Following this announcement, several analyst firms adjusted their price targets for Bitdeer. Needham lowered its target from $22 to $18, maintaining a Buy rating, while Benchmark reduced its target from $29 to $24, also retaining a Buy rating. H.C. Wainwright revised its target to $21 from $22, continuing to endorse a Buy rating. The analysts cited factors such as the company’s strategic shift towards developing bitcoin mining ASIC chips and rigs, and increased R&D expenses as reasons for the revisions. Despite the earnings miss and subsequent stock decline, analysts remain optimistic about Bitdeer’s long-term growth potential, driven by its strategic initiatives and plans to enhance energy efficiency in bitcoin mining. Additionally, Bitdeer’s management is focusing on expanding its hash rate capacity and developing new mining technologies to strengthen its market position.

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