KBW has downgraded Bitfarms, Bitdeer, and HIVE Digital from "Outperform" to "Market Outperform," citing risks associated with their transition to AI and high-performance computing. Analyst Stephen Glagola highlighted execution risks and longer monetization cycles as key challenges. The bank slashed Bitdeer's price target from $26.50 to $14 and HIVE Digital's from $11 to $3.50, while slightly raising Bitfarms' target to $3.
The report notes that Bitcoin miners are repositioning as digital infrastructure providers amid low profit margins post-Bitcoin halving. This shift requires significant capital investment and operational discipline, with KBW warning of potential dilutive financing and extended timelines.
KBW Downgrades Bitcoin Miners Amid AI Transition Concerns
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