Morgan Stanley Sees Big Upside In WULF, CIFR, MARA After Bitcoin Miners Pivot To AI Data Centers

• Morgan Stanley raised price targets for TeraWulf to $41.50 and Cipher Mining to $40.50 on Monday, maintaining ‘Overweight’ ratings on both stocks.
• Analyst Stephen Byrd said Bitcoin-to-data center conversion valuations were becoming “increasingly attractive,” pointing to strong upside potential.
• The firm also lifted MARA Holdings’ target to $8.50 from $8 but kept an ‘Underweight’ rating, signaling a more cautious stance on the miner.

Morgan Stanley raised its price targets for several Bitcoin (BTC) mining companies on Monday, citing improving valuations tied to their transition to data center operations.

Analyst Stephen Byrd lifted the price target on TeraWulf (WULF) to $41.50 from $37 and on Cipher Mining (CIFR) to $40.50 from $38, maintaining an ‘Overweight’ rating on both stocks. The analyst argued that the valuations tied to Bitcoin miners converting capacity into data center operations were becoming “increasingly attractive,” with “significant base case upside.”

TeraWulf and Cipher Mining were trading high on Monday morning. WULF’s stock was up over 3% in morning trade. On Stocktwits, the retail sentiment around WULF moved to ‘bearish’ from ‘neutral’ while chatter around it decreased to ‘low’ from ‘normal’ over the past day. 

Similarly, CIFR’s stock was up by 1% in morning trade. On Stocktwits, the retail sentiment around CIFR moved to ‘neutral’ from ‘bullish’ while chatter around it stayed ‘normal’ over the past day.

MARA Lags Despite Target Increase

The investment bank also raised its price target on MARA Holdings (MARA) to $8.50 from $8 but maintained an ‘Underweight’ rating, indicating a more cautious outlook relative to peers.

MARA’s stock price was down by 0.3% in morning trade. On Stocktwits, the retail sentiment around MARA moved to ‘bearish’ from ‘neutral’ while chatter around it remained ‘high’ over the past day.

Data Center Pivot Gains Attention

Morgan Stanley’s bullish stance on certain Bitcoin mining companies comes as many firms have shifted toward high-performance computing (HPC) and artificial intelligence (AI) infrastructure over the past few months. 

Some examples include Hut 8 Corp (HUT), Riot Platforms (RIOT), and Iren Limited (IREN), which have announced similar initiatives to diversify beyond traditional Bitcoin mining.

Read also: Peter Schiff Warns Saylor’s Bitcoin Strategy Risks 'Financial Ruin' For Investors

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