Update shared on 18 Nov 2025
Fair value Decreased 5.70%Analysts have lowered their average price target for Bit Digital from $5.70 to $5.38. This reflects cautious sentiment around slower data center ramp-ups, reduced Ethereum mark-to-market valuations, and softer near-term profit outlooks.
Analyst Commentary
Bullish Takeaways- Bullish analysts highlight Bit Digital's evolution toward an Ethereum-driven, high-performance computing platform. This positions the company for long-term earnings growth.
- The expansion into HPC and GPUaaS markets is viewed as a positive because it broadens the company's revenue streams and enhances its technological differentiation.
- New developments such as data center retrofits and cloud service features are seen as growth catalysts in the coming quarters.
- Leases secured at a 99MW North Carolina site, along with additional enterprise-focused offerings, are expected to contribute to valuation upside as long-term contracts materialize.
- Bearish analysts have trimmed price targets due to slower than expected data center ramp-ups, which could delay execution of key growth initiatives.
- Reduced Ethereum mark-to-market valuations are negatively impacting current financial metrics and near-term profitability outlooks.
- Recent earnings reports indicate that adjusted EBITDA was influenced by significant mark-to-market gains on digital assets. This raises concerns about the sustainability of earnings quality.
What's in the News
- Bit Digital announced operating results for the third quarter ended September 30, 2025. The company mined 64.9 BTC in the quarter, compared to 165.4 BTC in the prior-year period, due to a continued reduction in active hash rate. Active hash rate as of September 30 was approximately 1.9 EH/s, with an average efficiency of about 22 J/Th. The bitcoin mining segment generated a gross margin of approximately 32% for the quarter. (Key Developments)
- Bit Digital, Inc. (NasdaqCM:BTBT) was added to the S&P TMI Index, reflecting increased recognition in the broader market. (Key Developments)
Valuation Changes
- Consensus Analyst Price Target: Decreased from $5.70 to $5.38, reflecting a lower fair value assessment.
- Discount Rate: Increased slightly from 8.54% to 8.55%.
- Revenue Growth: Declined from 56.43% to 52.54%, indicating slower expected expansion.
- Net Profit Margin: Dropped from 9.38% to 1.48%, signaling a reduced profitability outlook.
- Future P/E: Rose sharply from 81.1x to 489.4x, suggesting higher expectations for future earnings relative to current projections.
Disclaimer
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