Craig-Hallum bullish on WhiteFiber, initiates with a Buy

As previously reported, Craig-Hallum analyst George Sutton initiated coverage of WhiteFiber (WYFI), which was a spin-out of covered company Bit Digital (BTBT), with a Buy rating and $25 price target. The firm sees the attractive combination of a growing AI/HPC data center business focused on retrofits that can deliver projects rapidly and a growing GPUaaS offering that provides key technology differentiators and serves the enterprise and neocloud market. Craig-Hallum believes that leases at the company’s attractive 99MW site in North Carolina along with additional features/customers on the Cloud Services side serve as catalyst over the next few quarters and expects the valuation to benefit from signed long-term contracts.