TechFlow News, January 27: According to a CoinDesk report, Wall Street investment bank KBW downgraded Bitfarms, Bitdeer, and HIVE Digital from “Outperform” to “Market Perform.” Analyst Stephen Glagola stated that these miners face execution risks and extended monetization timelines in their transition toward artificial intelligence (AI) and high-performance computing (HPC) businesses.
KBW significantly lowered Bitdeer’s target price from $26.50 to $14.00, reduced HIVE Digital’s target price from $11.00 to $3.50, and slightly raised Bitfarms’ target price to $3.00.
Glagola noted that, amid historically low profit margins following the Bitcoin halving, miners are repositioning themselves as digital infrastructure providers—a shift requiring substantial capital investment and adherence to stringent uptime standards. KBW views the transition from miner to data center operator as a capital-intensive process, potentially necessitating more dilutive financing and greater investor patience than anticipated.
