Analyst reiterates CleanSpark as ‘Top Pick’ after Q1 report

Mike Colonnese, senior crypto analyst at H.C. Wainwright & Co., reiterated CleanSpark as the firm’s top pick following the company’s first-quarter earnings report.

Bitcoin mining company CleanSpark reported its first-quarter results on Thursday, posting an 82% quarter-over-quarter increase in revenue to $162.3 million. The company benefited from a 33% rise in Bitcoin (BTC) production and a 37% increase in average Bitcoin prices.

During the quarter, CleanSpark produced 1,945 BTC, up from 1,465 BTC in the previous quarter. Its deployed hash rate also jumped 41.7% quarter-over-quarter to 39.1 EH/s.

In a research note, Colonnese stated that CleanSpark’s previous goal of reaching 50 EH/s by June remains achievable. He also estimated that the company holds $1.3 billion in total liquidity between cash and Bitcoin, while having less than $80 million in remaining capital expenditures needed to fund its expansion.

‘Highest conviction name’

CleanSpark is also H.C. Wainwright’s “highest conviction name” in the Bitcoin mining sector. The analyst expects the company’s management to provide a calendar-year-end outlook soon, with performance likely to exceed current guidance.

The report described CleanSpark as “one of the largest and last remaining” pure-play Bitcoin miners in the industry, backed by a “best-in-class” management team.

H.C. Wainwright maintained a Buy rating on CleanSpark’s stock, with an unchanged $27 price target. This valuation is based on an 8.5x enterprise value-to-revenue multiple, using 2025 revenue estimates of $961.2 million.