Rosenblatt Securities has opened coverage on BitGo Holdings (NYSE:BTGO) with a Buy rating and a price target of $17.00, according to a research note published Monday. At the reported reference share price of $10.76, Rosenblatt reflects nearly 60% potential upside to the firm s target.
The research note also references InvestingPro data that shows a broadly bullish analyst consensus, with a recommendation rating of 1.4 and price targets stretching from $11.50 to $18.00. Rosenblatt characterized BitGo as an institutional-only provider, focused on custody and security services. The firm noted the company offers products aimed at helping businesses access the cryptocurrency market.
In its rationale, Rosenblatt argued BitGo faces relatively less direct exposure to market volatility than many other cryptocurrency companies because of its business model centered on custody and security. The note highlights the GENIUS Act as a catalyst that is boosting pipeline activity as traditional financial players, including banks and retailers, increasingly consider stablecoins.
Rosenblatt set its $17.00 price target using a valuation multiple of 19 times BitGo s 2027 adjusted EBITDA estimate. The firm also cautioned that near-term financial results may be pressured by recent weakness in the broader cryptocurrency market.
Operationally, the note pointed to two recent corporate milestones: BitGo completed its initial public offering and obtained approval from the Office of the Comptroller of the Currency to convert into a trust bank. Despite those developments, the company's shares have declined about 40% from their IPO price.
Rosenblatt is not alone in its constructive view. Several other brokerages recently began coverage on BitGo with favorable stances:
- Canaccord Genuity initiated coverage with a Buy rating and a $15.00 price target, highlighting BitGo's custody position.
- Clear Street initiated coverage with a Buy rating and a $18.00 price target, projecting an earnings inflection tied to rapid revenue growth.
- Compass Point initiated coverage with a Buy rating and a $17.00 price target, noting the company's move toward a full-service prime brokerage model.
- Deutsche Bank initiated coverage with a Buy rating and a $17.00 price target, citing potential gains from rising institutional adoption of crypto services.
- Mizuho initiated coverage with an Outperform rating and a $17.00 price target, pointing to BitGo s scale in digital asset infrastructure, including management of over $100 billion of assets.
Collectively, these analyst initiations create a clustered set of buy-oriented views and price objectives in the $15.00 to $18.00 range, reflecting a strong consensus among the firms that recently began coverage.
Summary
Rosenblatt has begun coverage of BitGo with a Buy rating and a $17.00 price target, citing the company's institutional custody focus, benefits from the GENIUS Act on pipeline activity, and lower exposure to market volatility. Multiple other brokerages have also started coverage with positive ratings and price targets between $15.00 and $18.00.
Key points
- Rosenblatt assigns a $17.00 target, implying nearly 60% upside from a reference price of $10.76; the target is based on 19x 2027 adjusted EBITDA.
- BitGo focuses on institutional custody and security services and is positioning products to help businesses enter the crypto market; the GENIUS Act is cited as a driver of pipeline activity.
- Several brokerages including Canaccord Genuity, Clear Street, Compass Point, Deutsche Bank, and Mizuho have initiated coverage with generally favorable ratings and price targets clustered between $15.00 and $18.00 - affecting sectors such as crypto services, institutional custody, and banking.
Risks and uncertainties
- Near-term financial performance may be pressured by recent weakness in cryptocurrency markets, which could affect revenue and profitability in the short term - impacting investors and the broader digital asset services sector.
- Shares have already fallen roughly 40% from the IPO price, indicating existing market skepticism or volatility in investor sentiment.
- Pipeline expansion tied to adoption driven by the GENIUS Act depends on execution and uptake by traditional firms such as banks and retailers, creating uncertainty in the pace of revenue realization.