Bitfarms downgraded to Hold from Buy at Stifel

Stifel downgraded Bitfarms (BITF) to Hold from Buy with a price target of $2.30, down from $3.25. The firm states that Riot Platforms (RIOT) had revealed its proposal to acquire all the outstanding shares of Bitfarms to create the largest Bitcoin mining company with about 52 EH/s by year-end, but the offer was rejected and Bitfarms’ board did not engage in substantive dialogue. Riot has since become the company’s biggest shareholder, disclosing a 10% stake and intent to propose board changes, Stifel noted. Bitfarms may still receive competing bids, but there is now a high possibility that peers will be hesitant to come in given Riot’s current 10% ownership, the analyst tells investors in a research note.