H.C. Wainwright Reiterates Neutral Rating on Mawson Infrastructure Group Inc. (MIGI)

H.C. Wainwright analyst Kevin Dede reiterated a Neutral rating on Mawson Infrastructure Group Inc. (NASDAQ: MIGI).

The analyst commented: "Late last week, Mawson released its October month production report, highlighting its co-location revenue of $4.0M, up 18% from the month of September. The move signals the general trend in Mawson's business that is now evolving to a digital compute host from an exclusive bitcoin mining company. For the September quarter reported Nov. 14, indicated sales were $12.6M, down from June's (2Q24) $13.1M, but important in reference to our report's timing was Mawson's 3Q24 co-location revenue of $9.5M, up 17% from 2Q24. That is really the point. Mawson, in understanding its position in the ultra-high competitive world of bitcoin mining has taken a step back from that investment to instead dedicate greater effort toward finding more energy sources in building a sustainable hosting business for both crypto mining and HPC support. In that vein, the company secured acreage in Perry County, OH, with access to 24MW and is in process of preparing the site for its 20MW NVIDIA (NVDA; not rated) GPU support deal with BE Global Development, as announced August 12. BE Global development is a London-based PE firm that has signed an LOI for a similar development deal with another publicly-traded bitcoin miner—that company, engaging a bit more publicly, has us comfortable BE is a legitimate company supporting various, unnamed end HPC consumers. Upon completion and energization of Ohio, Mawson moves its total power under management to 153MW, up from 129MW that includes both Midland and Bellefonte, PA. On our projections, it appears at first blush Mawson's business needs to expand beyond the 129-153MW near-term target to generate operating leverage. At this juncture, we lack the confidence in our figures to alter our view of Mawson's trajectory and our investment rating, and we stand with a Neutral rating."

For an analyst ratings summary and ratings history on Mawson Infrastructure Group Inc. click here. For more ratings news on Mawson Infrastructure Group Inc. click here.

Shares of Mawson Infrastructure Group Inc. closed at $1.72 yesterday.

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