Analyst Ed Engel of Compass Point reiterated a Buy rating on DeFi Technologies, reducing the price target to $5.00.
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Ed Engel has given his Buy rating due to a combination of factors that highlight the potential growth and profitability of DeFi Technologies. Despite concerns about the company’s ability to meet its 2025 revenue guidance, Engel notes that the underlying profitability trends are improving. Since the company’s listing on Nasdaq, management has twice raised its 2025 guidance, indicating confidence in future performance.
Additionally, DeFi Technologies’ valuation reflects a conservative outlook on its DeFi Alpha trading profits, yet the deal pipeline is substantial, suggesting significant value. The company’s revenue and EBITDA have been impacted by mark-to-market losses on crypto holdings, but with rebounding crypto prices, there is a positive outlook for future quarters. Engel anticipates that the company will announce a DeFi Alpha trade before the third-quarter results, which could further enhance its financial standing.
According to TipRanks, Engel is ranked #7643 out of 9921 analysts.
In another report released yesterday, Northland Securities also maintained a Buy rating on the stock with a C$5.00 price target.