Cipher Stock Jumps: What's Going On?

Cipher Digital Inc. (NASDAQ:CIFR) shares are soaring Wednesday. Analysts reacted to its third-quarter results by trimming price targets while keeping their bullish ratings. Here’s what you should know.

• Cipher Digital shares are climbing with conviction. What’s behind CIFR gains?

Cipher Digital Reported Third-Quarter Results

Cipher Digital’s stock slipped before Monday’s open after third-quarter revenue landed at $26.701 million. That was 62.8% below the prior-year quarter and short of the approximate $38.47 million analysts expected.

A shrinking bitcoin mining business drove the decline, though Cipher booked its first computing-lease revenue and extended a Barber Lake lease that lifted contracted revenue to about $9.1 billion. The loss of 22 cents a share matched analyst estimates.

Wells Fargo Keeps Overweight On Cipher Stock

Wells Fargo analyst Eric Luebchow kept the Overweight rating on Cipher but cut the price target to $15 from $25.

Luebchow argued that the balance of risk and reward remains favorable even with the cut. The third-quarter report held few surprises, in the analyst’s view, because Cipher is still waiting to deliver its three campuses.

The payoff arrives later. Luebchow projects an annualized net operating income of $864 million by the second half of 2027, once those campuses are built. Getting there depends on schedules that have shifted. Amazon Web Services took the first data halls at Cipher’s Black Pearl site in August, with the remaining halls arriving in stages over the first half of 2027. A revised lease at Barber Lake is set to start billing across the fourth quarter of 2026 and the first quarter of 2027.

Two other points stood out to the analyst. Cipher is working to lower the risk in the leases it signs next, drawn from a pipeline of roughly 6 gigawatts. The Black Pearl and Stingray projects also carry cost-overrun reimbursements of more than $9.5 million and $10.5 million per megawatt of total spend, respectively.

Other Analysts Cut Targets But Stay Bullish

More news today includes Needham, which kept a Buy rating and lowered its target to $15, and Rosenblatt, which kept a Buy rating and lowered its target to $19. Cantor Fitzgerald kept an Overweight rating and also cut its target to $15.

Analysts rate Cipher a Buy on average, with a consensus price target of $26.61.

CIFR Shares Are Booming

CIFR Price Action: Cipher shares were up 11.81% at $7.67 at the time of publication on Tuesday. The stock is trading near its 52-week low of $6.62, according to Benzinga Pro.

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