TECH - This Nvidia Partner And Bitcoin Miner Stock Could Surge By 50% Say Analysts | Benzinga
Frankfurt-based tech company Northern Data (OTC:NDTAF) has seen a significant change in its business model, which has caught the eye of investment bank Berenberg.
What Happened: Northern Data, previously known for its Bitcoin (CRYPTO: BTC) mining operations, has shifted its focus to cloud solutions and data center infrastructure. This transformation has led Berenberg to predict a substantial increase in the company’s stock value, reported CNBC.
The bank has initiated coverage of the company’s stock with a Buy rating and a price target of 39 euros ($41.84) per share, indicating a potential 53.2% upside from the current share price.
The company, listed on the Frankfurt Stock Exchange, operates three main divisions: Peak Mining for bitcoin mining, Taiga Cloud certified as an "Elite" partner of NVIDIA Corp (NASDAQ:NVDA) for cloud computing, and Ardent Data Centers for data center infrastructure. Berenberg believes that the market has largely overlooked the growth potential of Taiga Cloud’s offerings.
"We believe that the significant investments that Northern Data has made in the latest liquid-cooling mining technology and the expansion of the company at its existing North Dakota and new Texas sites should enable it to achieve high bitcoin production and mining profitability," Berenberg analysts Gerhard Orgonas and Jenna Xu said in a note to clients.