Canaccord Likes The Setup In This Bitcoin Mining Stock Amid Crypto Contagion – HIVE Blockchain Techs (NASDAQ:HIVE), Bitcoin (BTC/USD), Ethereum (ETH/USD), Intel (NASDAQ:INTC)

As contagion seeps through the crypto universe, one analyst agency sees alternative in a beaten-down Bitcoin BTC/USD miner.

What Occurred: Canaccord Genuity analysts on Monday reiterated Hive Blockchain Applied sciences Ltd HIVE with a Purchase ranking and a $7 value goal.

“We are encouraged by the company’s efficient Bitcoin production, strong balance sheet, steady progress at its facilities, and prudent approach towards repurposing its GPU machines,” the analyst agency wrote in a notice to purchasers.

Canaccord analysts acknowledged that the corporate took an working capability hit because of the Ethereum ETH/USD merge, however its bitcoin strategy is what actually stands out.

The agency touted bitcoin’s relative energy within the crypto market within the face of recent volatility. Canaccord believes Hive’s environment friendly bitcoin strategy will repay as digital belongings transfer increased long term.

Hive is positioned to make the most of a resurgence in bitcoin prices because it sits on the excessive finish of bitcoin mined per exahash of output in manufacturing, the analysts stated.

“Production efficiency is supported by a modern mining fleet as well as plans to repurpose some of its GPUs into non-mining activities,” Canaccord stated.

See Additionally: Bitcoin, Ethereum, Dogecoin Fall: Analyst Says ‘More Blood Yet To Come’ As Genesis Crisis Adds To Crypto Carnage

The analyst agency can be inspired by early developments with Intel Corp INTC. Hive is among the few miners that has secured a contract for Intel’s new ASIC chips, Canaccord stated, including the corporate’s ASIC order remains to be on monitor to be delivered on the finish of the yr.

Hive additionally “checks a number of other boxes” together with having a 100% inexperienced power footprint and a enterprise mannequin that affords optionality.

“Given our view that HIVE checks all the boxes we like to see in a digital-assets miner, we believe that the company can experience multiple expansion toward at least the mean of the peer group,” Canaccord stated.

“As such, we remain positive on Hive’s outlook.”

HIVE Worth Motion: Hive has a 52-week excessive of $20.47 and a 52-week low of $1.98.

The inventory was up 0.89% at $2.02 Tuesday morning, based on Benzinga Pro.

Source link

#Canaccord #Likes #Setup #Bitcoin #Mining #Stock #Crypto #Contagion #HIVE #Blockchain #Techs #NASDAQHIVE #Bitcoin #BTCUSD #Ethereum #ETHUSD #Intel #NASDAQINTC