Shares of Bitcoin (BTC-USD) mining company Bitfarms (BITF) (TSE:BITF) are down in today’s trading despite receiving analyst praise following a virtual fireside chat with new CEO Ben Gagnon and CFO Jeff Lucas. H.C. Wainwright, led by five-star analyst Mike Colonnese, believes that Bitfarms is making good progress toward its hash rate goals as it explores organic and inorganic growth opportunities in BTC mining and AI. Colonnese considers BITF undervalued and recommends buying the stock with a $4 per share price target.
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It’s worth noting that, so far, Colonnese has enjoyed a 65% success rate on his ratings, with an average return of 68% per rating.
In addition, Gagnon shared his vision for Bitfarms and highlighted the firm’s hash rate (the number of calculations a miner can perform per second) goals of 21 EH/s by the end of this year and 35 EH/s by the end of 2025. The company currently has a hash rate of 10.4 EH/s across 12 sites in four countries. Nevertheless, management is confident about meeting targets.
Bitfarms’ management also discussed the company’s exploration of new businesses, such as AI, to diversify revenue streams. They mentioned the recent acquisition of a 120 MW facility in Sharon, Pennsylvania, as part of their U.S. expansion, as the firm looks to benefit from the deregulated grid and skilled workforce in the area.
Is Bitfarms Stock a Good Buy?
Overall, analysts have a Strong Buy consensus rating on BITF stock based on six Buys, one Hold, and zero Sells assigned in the past three months, as indicated by the graphic below. After a 48% rally in its share price over the past year, the average BITF price target of $4.25 per share implies 55.39% upside potential.
