Cipher Digital CIFR Gains Attention After High-Performance Computing Stocks Plummet

Cipher Digital Inc. (NASDAQ:CIFR) is emerging as an attractive investment option following the recent selloff in high-performance computing stocks.

Rosenblatt Securities has reiterated its Buy rating on Cipher Digital, alongside Galaxy Digital (NASDAQ:GLXY), citing the significant drop in valuations due to market panic triggered by Meta Platforms' plans to build a cloud computing operation for outside customers, including AI compute capacity and models.

The analysts pushed back against the panic, arguing that the market reaction was overdone and that Meta's cloud ambitions appeared to be company-specific rather than indicative of weakening demand for AI infrastructure. They also pointed out that the selloff created a wider valuation gap, which they had already highlighted before the drop.

Cipher Digital Inc. (NASDAQ:CIFR) is a digital infrastructure company focused on developing and operating industrial-scale data centers for bitcoin mining and high-performance compute hosting in the United States.