In a report released today, Ed Engel from Compass Point maintained a Buy rating on DeFi Technologies (DEFI – Research Report), with a price target of $6.50.
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Ed Engel’s rating is based on several compelling factors that highlight DeFi Technologies’ potential for growth and profitability. The company has demonstrated an impressive ability to convert its substantial assets under management into significant EBITDA, indicating a strong operational model with a low fixed cost base. This efficiency is particularly notable given the company’s small workforce, which suggests that DeFi Technologies can achieve further growth without substantial reinvestment.
Furthermore, DeFi Technologies has clarified its 2025 revenue guidance, which has been adjusted to exclude non-cash accounting benefits, providing a clearer picture of its underlying performance. The company’s international expansion strategy, particularly its plans to list exchange-traded products on stock exchanges in the UAE and Singapore, offers additional upside potential. These markets have shown a strong appetite for regulated crypto investments, which could enhance DeFi Technologies’ growth prospects. Overall, these factors contribute to Ed Engel’s positive outlook and Buy rating for the stock.