Bitcoin Miner Price Targets Raised to Reflect Improved Industry Economics: JPMorgan

JPMorgan (JPM) raised its price targets for a number of bitcoin BTC mining companies to reflect first-quarter results and changes to the bitcoin price and the network hashrate, the bank said in a report Friday.

The bank lifted its CleanSpark (CLSK) price target to $14 from $12, its Riot Platforms (RIOT) objective to $14 from $13 and its MARA Holdings (MARA) target to $19 from $18.

“Our price targets generally increased due to higher bitcoin prices and improving mining profitability,” analysts Reginald Smith and Charles Pearce wrote.

JPMorgan said it tweaked the price targets to reflect a 24% increase in the bank’s spot bitcoin assumption and a 9% increase to its network hashrate estimate.

The hashrate refers to the total combined computational power used to mine and process transactions on a proof-of-work blockchain, and is a proxy for competition in the industry and mining difficulty.

JPMorgan reiterated its overweight rating on CleanSpark, IREN (IREN) and Riot, and its neutral rating for Cipher Mining (CIFR) and MARA.