Morgan Stanley assesses U.S. miners…calls for Underweight on Mara Holdings

Morgan Stanley issued investment views on three Bitcoin (BTC) mining companies, rating Cipher Mining and TeraWulf Overweight and Mara Holdings Underweight. The bank said miners should be viewed as infrastructure assets rather than stocks linked to the Bitcoin price.

According to crypto-focused outlet CoinDesk on the 9th (local time), Morgan Stanley assigned an Overweight rating to Cipher Mining (CIFR) and TeraWulf (WULF), and an Underweight rating to Mara Holdings (MARA·formerly Marathon Digital).

In its report, Morgan Stanley explained that “if a mining company has built data centers and entered into long-term lease agreements with credible counterparties, investing in that company is akin to investing in infrastructure assets rather than Bitcoin.” It added that “such companies are better suited to investors who prioritize stable cash flows than traders betting on Bitcoin price volatility.”

By contrast, it noted limits to profitability for companies that still keep Bitcoin mining as their core business. Morgan Stanley added, “companies focused primarily on mining are structurally unlikely to deliver outsized profits.”

It also provided price targets: $38 for Cipher Mining, $37 for TeraWulf, and $8 for Mara Holdings.