TD Cowen reiterates "Buy" rating for Sharplink: Maintains $16 target price, optimistic about 106% upside potential

According to Odaily, investment bank TD Cowen reiterated its "Buy" rating on Sharplink after the company released its Q1 financial report, and maintained a target price of $16, which implies an increase of approximately 106% from the current share price of $7.76.

Sharplink's Q1 revenue exceeded $12 million, and it also announced a joint establishment of a yield fund of about $125 million with Galaxy Digital, with Sharplink contributing approximately $100 million. The fund will focus on DeFi and liquidity yield opportunities, aiming for returns higher than basic staking yields.

The analyst team believes the current share price is in a "favorable allocation window," mainly driven by the continued NAV discount and expanding Ethereum demand. Sharplink currently holds about 873,000 ETH (approximately $2 billion), corresponding to a net asset value per share of about $9.68, while the share price still trades at about a 20% discount to NAV. TD Cowen pointed out that the Galaxy partnership strengthens Sharplink's yield strategy, allowing it to enhance capital efficiency through institutional-grade DeFi opportunities while maintaining its ETH exposure. (The Block)