JPMorgan Upgrades Cipher and CleanSpark, Cuts MARA and Riot Targets

Bitcoin mining companies are entering a new phase as JPMorgan updates its sector forecasts. Analysts say miners are accelerating their shift toward high-performance computing and long-term cloud infrastructure, reshaping capital allocation strategies for 2025–2026.

Reginald Smith and Charles Pearce noted that more than 600 MW of AI-related contracts have been signed since late September. New deals with AWS, Microsoft and Fluidstack reinforce the growing importance of HPC as a key revenue driver.

Cipher and CleanSpark Receive Upgrades

Cipher Mining was upgraded to Overweight, with its December 2026 price target raised from $12 to $18. Analysts highlighted Cipher’s 410 MW of newly signed HPC contracts and the stock’s 45% pullback, calling it an attractive entry point.

JPMorgan also upgraded CleanSpark to Overweight and reiterated its $14 target. Analysts estimate that the company’s newly acquired 285-MW Texas site could support 200 MW of critical-IT load, valued at roughly $13 million per megawatt.

IREN Target Raised, but Rating Remains Underweight

IREN’s price target increased from $28 to $39 following its $9.7 billion cloud partnership with Microsoft. JPMorgan now expects IREN to reach 660 MW of contracted IT load by 2026 — equivalent to about 250,000 GPUs and up to $6 billion in annualized cloud revenue.

Despite the higher valuation, JPMorgan kept the stock at Underweight, noting that its current price already reflects future growth. IREN traded near $46.70 on Monday.

JPMorgan Cuts Targets for MARA and Riot

MARA Holdings saw its target cut from $20 to $13 due to falling Bitcoin prices, rising network hashrate and increased share dilution tied to ATM offerings and convertible notes. JPMorgan also reduced its valuation of MARA’s mining operations from $2.5 billion to $1.3 billion.

Riot’s target was reduced from $19 to $17. Analysts expect a 600-MW colocation deal at the company’s Corsicana site, accounting for one-third of approved power capacity. However, Riot’s mining operations were marked down to roughly $1 billion.

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