Canaan Receives Buy Rating with $3 Target from Benchmark Analyst

Benchmark analyst Mark Palmer initiated coverage of Canaan (CAN) with a buy rating and a $3 price target, noting the stock's closing price at $0.62, down 72% year-to-date.

Canaan’s dual strategy includes:

Development of ASIC bitcoin chips and rigs
Expansion of self-mining operations, particularly in the U.S.

Palmer highlighted Canaan's vertically integrated approach, which allows it to benefit from both chip/rig sales and proprietary mining revenues. The company's push into home mining rigs has further diversified its revenue streams.

Canaan aims to increase its self-mining capacity to:

10 EH/s in North America by mid-2025
15 EH/s globally

The company holds 1,408 bitcoins valued at approximately $133 million, representing nearly 70% of its market cap, which supports its valuation.