Bitdeer Technologies Group (BTDR): Assessing Valuation as Bitcoin Surge and AI Expansion Spark Investor Optimism

Bitdeer Technologies Group (BTDR) shares jumped after Bitcoin surged close to a new all-time high. The company’s strong year-over-year revenue growth and recent hardware launches have caught the attention of investors.

See our latest analysis for Bitdeer Technologies Group.

Bitdeer’s latest surge comes on the heels of Bitcoin’s own rally, with the company’s share price benefitting from both crypto momentum and its new energy-efficient mining hardware launches. Over the past year, Bitdeer’s total shareholder return sits just under 2%, a modest gain that reflects investors’ building optimism for further growth as it increases its footprint in AI and computing infrastructure.

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With shares rebounding alongside Bitcoin and analyst price targets projecting further upside, the question for investors is whether Bitdeer remains undervalued at current levels or if the market has already factored in the company’s next phase of growth.

Most Popular Narrative: 20.2% Undervalued

Bitdeer's last close of $19.42 sits well below the most widely followed narrative's fair value of $24.33, signaling an ambitious earnings outlook shaping sentiment on the stock.

Bitdeer's development of proprietary ASIC technology is expected to create cost advantages and open opportunities in selling machines to penetrate the $4 billion to $5 billion annual ASIC market, which could drive significant revenue and margin improvements.

Read the complete narrative.

Want to know what’s fueling this premium? This narrative’s fair value is based on rapid innovation, industry expansion, and a bold leap in profitability. Just how aggressive are these growth predictions? Dive deeper to uncover the numbers and strategic bets driving this high projection.

Result: Fair Value of $24.33 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, challenges remain, including high R&D spending and recent declines in quarterly revenue. Any of these factors could slow Bitdeer's ambitious growth trajectory.

Find out about the key risks to this Bitdeer Technologies Group narrative.

Another View: Price-to-Sales Multiple Tells a Different Story

Looking at Bitdeer through the lens of its price-to-sales multiple paints a less optimistic picture. The company trades at 11.5 times sales, which is noticeably higher than both its peer average of 6.3 and the broader US Software industry at 5.3. Even compared to its fair ratio of 11.3, shares appear slightly expensive. This suggests there could be more valuation risk here than what is reflected in the bullish forecasts. Is the market too optimistic, or is Bitdeer truly in a league of its own?

See what the numbers say about this price — find out in our valuation breakdown.

Build Your Own Bitdeer Technologies Group Narrative

If you see the story differently, or want to explore the numbers behind Bitdeer for yourself, you can build your own narrative in just a few minutes. Do it your way

A great starting point for your Bitdeer Technologies Group research is our analysis highlighting 2 key rewards and 3 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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