H.C. Wainwright Reiterates Buy Rating on Bitdeer Technologies Group (BTDR)

H.C. Wainwright analyst Mike Colonnese reiterated a Buy rating and $20.00 price target on Bitdeer Technologies Group (NASDAQ: BTDR).

The analyst comments "Disrupting the ASIC industry with newly released product roadmap and strategic acquisition. Bitdeer announced several key business updates over the past week, including 1) a $100M private placement financing from Tether, the issuer of the world’s largest stablecoin, closed on May 30, 2) that the company entered into a purchase agreement to acquire ASIC designer, DesiweMiner, in an all-stock deal for 20M shares on June 3, valuing the transaction at ~$127M, and 3) unveiled the technology roadmap for its proprietary mining rig - the SEALMINER, on June 6. Bitdeer’s R&D timeline unveiled four generations of its Bitcoin mining chips along with estimated efficiency metrics and delivery schedules for each rig model (details in Exhibit 1), in an unprecedented move in the ASIC industry. Mass production and shipping for the company’s inaugural miner, the SEALMINER A1, is expected to commence in 3Q24, while Bitdeer mapped out future generations of its ASIC through 2Q25, when it expects to mass produce the SEAL04 chip with an energy efficiency rating of 5 J/TH (more on this below). Last week’s roadmap and acquisition further solidify our thesis that Bitdeer could become a serious contender in the ASIC manufacturing industry over the near term, a multi-billion dollar/year business that is currently dominated by two players – Bitmain and MicroBT, which combined account for over 90% of all ASIC sales. The newly launched ASIC business will provide Bitdeer with both a new source of revenue in a highly concentrated industry, and a significant cost advantage relative to its peers, as we note that mining rigs account for ~70%+ of a miner’s total capex. Shares have reacted favorably to Bitdeer’s series of positive announcements, rallying ~25% since the end of May vs. a 2.7% gain in the Nasdaq. With that said, we do not believe the Street fully appreciates the opportunity set ahead for this new business line or for Bitdeer's compelling growth plans through 2025, as we Reiterate our Buy."

For an analyst ratings summary and ratings history on Bitdeer Technologies Group click here. For more ratings news on Bitdeer Technologies Group click here.

Shares of Bitdeer Technologies Group closed at $7.29 yesterday.

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