Bernstein analysts have assigned Outperform ratings to four major bitcoin mining companies while maintaining a Market Perform rating on MARA Holdings. According to reports from The Block, the analysts set price targets of $100 for IREN, $25 for RIOT, and $24 each for CleanSpark and Core Scientific, while maintaining MARA at Market Perform with a $23 target. As reported by The Block, IREN closed at $50.46 versus the $100 target, implying a 98.1% upside, while Riot Platforms closed at $23.18 against a $25 target, or 7.8% upside. CleanSpark closed at $13.44 versus a $24 target, implying 78.5% upside, and Core Scientific ended Monday at $23.57, about 1.8% below its $24 target. MARA Holdings closed at $12.18 against a $23 target, implying 88.8% upside despite its Market Perform rating.
According to Bernstein's Tuesday note titled "Bitcoin Miners: Google-Blackstone Neocloud news - Follow the Gigawatts," the analysts cited more than $90 billion in announced AI deals covering roughly 3.7 gigawatts of capacity across hyperscalers, neoclouds, and chip providers. As reported by The Block, miners collectively control more than 27 gigawatts of planned power capacity, positioning them as counterparties to large-scale compute demand. The analysts noted that securing a single gigawatt of power can take close to 50 months across U.S. markets, including grid-constrained regions such as Texas. The analysts led by Gautam Chhugani emphasized that bitcoin miners have become embedded in AI infrastructure development, with the note specifically highlighting that miners have "still have an edge" given existing access to grid-connected power and large-scale sites already in operation or under development.
The analysts highlighted significant deals across the ecosystem, including IREN's planned 5-gigawatt AI compute buildout using Nvidia's AI factory architecture and a $3.4 billion AI cloud deal tied to GPU deployment commitments. According to The Block, Riot Platforms secured a co-location deal with AMD covering 50 megawatts with an option to expand to 200 megawatts. The note also referenced broader partnerships involving Google, Amazon, and other miners through intermediated cloud arrangements, demonstrating the growing integration of bitcoin mining companies into AI infrastructure development. IREN's AI cloud expansion is described as capital-intensive and dependent on access to flexible financing, while Riot Platforms' concentration in Texas exposes it to potential state-level policy shifts, including taxation or operational restrictions.
Bernstein expects data centers to continue facing regulatory and permitting challenges, citing interconnection queues, zoning restrictions, environmental scrutiny, and grid capacity limitations across multiple U.S. states. Despite these backdrop challenges, the analysts said bitcoin miners "still have an edge" given existing access to grid-connected power and large-scale sites already in operation or under development. The analysts flagged sector-wide risks including environmental scrutiny over energy consumption, potential policy shifts for Riot Platforms in Texas, and production risks for MARA Holdings linked to reliance on external power partners. For Core Scientific, Bernstein noted that reallocating power from bitcoin mining into AI infrastructure could leave the company exposed to missed upside during a bitcoin bull cycle if its AI buildout slows. All miners face scrutiny from environmental groups over energy consumption tied to large-scale data center operations.
