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.

CIFR’s optimistic future

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.