Analyst: Cipher Mining Stock Is A Buy After Mining Upgrade, Sees 45% Upside

Analysts at H.C. Wainright are bullish on Cipher’s investment strategy, projecting upside potential to $6.

Cipher Mining Inc. (CIFR) has recently announced an upgrade to its mining fleet in Odessa, leading to an upward revision to its 2024 and 2025 hash rate targets following a revised contract with Bitmain. Citing this upgrade, H.C. Wainright analysts have raised their price target from $5.50 to $6, implying a significant potential move higher from the current trading price of $4.15 

The updated contract speeds up the delivery timelines and includes Bitmain’s newest S21 Pro miners, which will replace the T21s that were originally requested. Consequently, Cipher’s self-mining hash rate target for 2024 has been increased by 45% to 13.5 EH/s. 

At the time of writing, CIFR is trading at $4.15 a share.

This upgrade will phase out old equipment and see the new miners deployed at CIFR’s Odessa facility. The new miners are expected to significantly improve the company’s efficiency and cost-effectiveness, positioning CIFR as a leader in the industry. 

For 2025, CIFR has further raised its outlook by 40% to 35 EH/s, anticipating full power capacity at its Black Pearl site. Once fully operational, the fleet-wide efficiency is projected to reach 15 J/TH.

CIFR’s stock responded positively to the update, closing 5% higher and outperforming the Nasdaq. Supported by low power costs, the company aims for a 15% efficiency lead over competitors by the end of 2024. 

H.C. Wainright analysts reiterate a Buy rating, reflecting confidence in CIFR’s strategic direction and execution.