TLDR
- Bitfarms (NASDAQ: BITF) stock closed at $5.01 on October 17, up 19% for the week and 148% year-to-date as Bitcoin surged past $125,000.
- The company announced a $500 million convertible notes offering and appointed Jonathan Mir as new CFO to lead expansion into AI and high-performance computing.
- Bitfarms is building a 350 MW Panther Creek data center in Pennsylvania and secured $300 million in project-specific financing for the facility.
- The stock hit a 52-week high of $6.20 before pulling back on profit-taking. Market cap now stands around $2.8 billion.
- Analysts remain split with six buy ratings versus one sell. Average price target of $4.35 sits below current price as fundamentals lag the rally.
Bitfarms shares closed at $5.01 on Friday, October 17, 2025. Despite a 5% decline that day, the stock gained roughly 19% for the week.
The crypto mining company has rocketed 148% year-to-date. Shares traded around $1 in January and now hover in the mid-$4 range.
The rally came as Bitcoin smashed through $125,000 in early October. Bitcoin exchange-traded funds pulled in nearly $6 billion in one week.
Higher Bitcoin prices translate directly to fatter margins for miners. Bitfarms mined 718 BTC in Q2 at a cost of about $48,200 each.
With Bitcoin now above $100,000, the profit per coin has more than doubled. This windfall is lifting the entire mining sector.
Rival miners like Riot Platforms and Marathon Digital also climbed. The sector’s high beta means these stocks amplify Bitcoin’s moves.
Bitfarms hit a 52-week high of $6.20 intraday on October 14. Trading volume that session ran three times the average.
The stock’s beta sits around 4 to 5. That means it swings four to five times harder than the broader market.
Technical indicators suggest the rally may pause. The 14-day RSI shot above 80 in early October, entering overbought territory.
Chart watchers see support around $4.20 and resistance near $4.50. The 50-day moving average still lags far below at $2.40.
Leadership Changes and Massive Capital Raise
Bitfarms announced CFO Jeff Lucas will retire. Jonathan Mir takes over as CFO effective October 27.
Mir brings 25 years of experience from investment bank Lazard. He specialized in energy infrastructure finance.
CEO Ben Gagnon said the change positions the company to execute on HPC and AI growth. The reference points to data center expansion beyond crypto mining.
The company launched a $500 million convertible notes offering in mid-October. It started at $300 million but upsized due to demand.
The notes carry a 1.375% interest rate and mature in 2031. They convert to equity at $6.86 per share, a 30% premium.
The offering is expected to close around October 21. Initial purchasers got an option to buy an extra $88 million in notes.
Bitfarms entered capped call transactions to limit dilution. The hedge caps dilution up to a stock price of $11.88 per share.
Management called it an opportunistic capital raise. The funds will bankroll expansion plans.
The company also converted a $300 million Macquarie Group credit facility. It became project-specific financing for the Panther Creek data center in Pennsylvania.
Bitfarms drew an additional $50 million to accelerate construction. The October 10 announcement gave the company more flexibility.
Pivoting to AI and High-Performance Computing
Panther Creek is a 350 MW project aimed at AI and cloud computing. It will host workloads alongside crypto mining.
Bitfarms partnered with T5 Data Centers to develop the infrastructure. The company acquired 181 acres in Pennsylvania for the campus.
It also bought land in Washington state for future AI facilities. First phase of Panther Creek is expected online in 2026 with 50 MW capacity.
The campus should scale to 300-350 MW by 2027. This could make it one of the larger data centers in operation.
The pivot reflects strategic diversification. Management wants income streams not tied to Bitcoin block rewards.
The 2024 Bitcoin halving will cut mining rewards in half. Unless prices double or capacity doubles, revenue will take a hit.
Bitfarms is exiting Argentina after persistent power issues. An energy provider halted power to the 58 MW facility in May.
The company will fully decommission that mine by November 11. It recovered a $3.5 million energy deposit from the project.
Now over 80% of Bitfarms’ 1.3 GW pipeline is U.S.-based. The geographic shift prioritizes stable grids and cleaner energy.
Outgoing CFO Lucas said the company transitioned from Bitcoin miner to HPC/AI infrastructure pioneer. He noted the balance sheet is stronger than ever with roughly $330 million in cash and Bitcoin holdings.
With the new $500 million infusion, Lucas said the company has never been better capitalized. He emphasized a long runway of growth ahead.
Analyst Views Split on Valuation
Six analysts rate Bitfarms a buy versus one sell. The average 12-month price target sits around $4.35.
That target actually falls below the current price near $5. The stock’s rapid climb outpaced earlier expectations.
Some bulls recently set targets as high as $7. Northland Capital initiated coverage with that figure.
Martin Toner at ATB Capital praised disciplined finances and the HPC pivot. He pointed to the 1.3 GW U.S. energy pipeline as a competitive advantage.
CEO Gagnon believes melding AI with mining will unlock synergies. Both require abundant cheap power and resilient facilities.
However, skeptics note fundamentals haven’t caught up. Bitfarms posted a $29 million net loss in Q2 despite $78 million in revenue.
The profit margin ran deep in the red at around -35%. Full-year 2025 earnings are projected to stay negative at roughly -$0.21 per share.
Independent researcher Weiss Ratings maintained a sell grade as of October 8. The firm cited concerns the rally is overextended.
Riot Platforms quietly trimmed its stake in Bitfarms below 10% recently. The strategic investor cashed out some gains during the rally.
When the $300 million notes offering was first announced, Bitfarms stock plunged 18% intraday on October 16. Some shareholders worried about dilution until capped call details emerged.
Market cap now hovers around $2.8 billion at the $5 share price. That implies very high multiples on near-term profit metrics.
Standard Chartered recently projected Bitcoin could reach $135,000 to $150,000. Marathon CEO Fred Thiel predicted $200,000 within a year.
Some voices warn of volatility ahead. Robert Kiyosaki suggested the crypto market could see a 50% crash before the next rally.
Bitfarms closed at $5.01 on Friday, October 17, after hitting $6.20 earlier in the week. The company expects first phase of Panther Creek online in 2026 with full capacity by 2027.
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