UPDATE: Needham & Company Starts Applied Blockchain Inc (APLD) at Buy

Needham & Company analyst John Todaro initiates coverage on Applied Blockchain Inc (NASDAQ: APLD) with a Buy rating and a price target of $5.50.

The analyst comments "We are initiating coverage on Applied Blockchain (APLD) with a Buy rating and a $5.50 price target based on an EV/rev multiple of 3.6x our FY '23 estimate. Our PT implies 55% upside from the last closing price. APLD is one of the largest independent hosting providers for bitcoin miners in North America and is set to expand its facility considerably in the coming quarters. We believe APLD offers attractive exposure to bitcoin mining without the underlying price volatile in prop miners. Further, we are excited about near-term demand from Chinese mining migration to independent hosting facilities in the US. Lastly, we believe APLD should trade at a premium relative to the broader mining universe given its lower revenue volatility. We believe APLD offers a compelling valuation relative to data center REIT comps as well as prop bitcoin miners."

For an analyst ratings summary and ratings history on Applied Blockchain Inc click here. For more ratings news on Applied Blockchain Inc click here.

Shares of (Applied Blockchain Inc closed at $3.54 yesterday.

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