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BMNR vs. BITF: Which Technology Services Stock Has an Edge at Present?
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Key Takeaways
BitMine has shifted from mining to building the world's largest corporate Ethereum treasury.
BMNR raised $250M and expanded its ETH holdings to about 3.6M tokens with assets above $11B.
BMNR's shares have jumped over 240% in six months, outpacing the 138.5% rise in BITF.
BitMine Immersion Technologies (BMNR - Free Report) and Bitfarms Limited (BITF - Free Report) are prominent names in the Zacks Technology Services industry. BitMine, based in Las Vegas, is a Bitcoin and Ethereum Network company. Ethereum is the world’s second-largest cryptocurrency. BitMine focuses on the accumulation of crypto for long-term investment.
Bitfarms, founded in 2017, is a North American energy and digital infrastructure company that develops and operates vertically integrated, advanced data centers and energy systems designed for high-performance computing and Bitcoin mining.
Given this backdrop, let us examine closely to find out which technology services player currently holds the edge, and more importantly, which might be the smarter investment now.
The Case for Bitfarms
Bitfarms is shifting its focus from being a purely Bitcoin-mining business to expanding into High-Performance Computing and AI (HPC/AI). Although this strategic move has driven strong revenue growth, the company’s gross mining margin remains a sticking point, raising questions about whether the challenge is temporary or signals a more fundamental issue. During the third-quarter 2025 conference call, management stated that the supply of computer chips is expected to surpass growth in data center infrastructure. This brings down BITF’s ability to deploy GPUs at scale swiftly, lowering revenue growth.
The company is likely to encounter substantial challenges as it moves deeper into the HPC/AI market. The business is heavily dependent on regulatory approvals, which can influence how efficiently it performs. Even with strong demand, securing long-term contracts remains essential for establishing stable, recurring revenue streams. Finally, the need for significant capital to build out data centers suggests that the company may have to take on considerable debt.
In the third quarter of 2025, Bitfarms’ revenues surged 156% year over year. However, its gross mining margin fell to 35%, dropping 1,100 basis points from the prior year and 1,000 basis points from the previous quarter. This decline stems largely from rising operational costs tied to reallocating capacity and divesting lower-margin mining assets in Argentina and Paraguay.
Additionally, Bitfarms invested in upgrading its 18 MW Washington facility to support HPC/AI workloads using advanced NVIDIA Vera Rubin GPUs — an initiative that requires significant short-term capital and operating expenses, thereby increasing overall costs. Management remains confident in Bitfarms’ ability to tap into a growing share of AI infrastructure demand and believes the company will ultimately exceed the capacity offered by conventional data centers.
Bitfarms recently revealed plans to transition its Washington facility to support HPC/AI workloads. The company’s 18 MW Bitcoin mining site in Washington will become its first fully converted HPC/AI operation, capable of delivering up to 190 kW per rack and utilizing advanced liquid-cooling technology. The conversion is slated for completion in December 2026.
The Case for BitMine
BitMine is the largest Ethereum (“ETH”) treasury company across the globe. The company shifted its strategy earlier this year, moving away from its traditional role as a Bitcoin mining operator to become the world’s largest corporate holder of Ethereum.
BitMine is led by Wall Street veteran and Fundstrat (a research advisory firm) co-founder Thomas Lee. Earlier this year, he became BitMine’s chairman of board of directors. Earlier this month, BMNR appointed Chi Tsang as its new chief executive officer. He has also been appointed as a member of the company's board.
BitMine is being well-served by the stablecoin revolution. Stablecoins are a specialized type of cryptocurrency designed to keep their value pegged to a specific asset, such as the U.S. dollar. This class of digital assets provides advantages like quicker and cheaper transactions, round-the-clock availability and seamless global accessibility. By offering low volatility, stablecoins serve as a bridge between the cryptocurrency ecosystem and traditional financial systems.
Earlier this year, BitMine closed on an initial $250 million PIPE private placement to fund its new strategy. The proceeds and other capital raises were utilized by BitMine to acquire large amounts of Ethereum. BitMine has significantly grown its ETH treasury, holding approximately 3.6 million ETH tokens, with combined crypto and cash assets exceeding $11 billion, per a recent release by BMNR. According to Lee, the company’s goal is to purchase 5% of the ETH supply.
BMNR’s Superior Price Performance
Driven by efforts to actively increase its Ethereum holdings, BMNR’s shares have skyrocketed in excess of 240% over the past six months, which is better than the impressive 138.5% surge in BITF’s shares.
Image Source: Zacks Investment Research
End Note
BITF’s strategic pivot to the HPC/AI business positions it to diversify from the highly volatile Bitcoin mining operations. However, the plan is capital-intensive with uncertainty around recurring cash flows. As a direct consequence of BITF’s move, the growing demand for market power is likely to outpace supply, leading to increased capital and operational costs for new data center projects. This puts pressure on margins, requiring larger upfront investments and higher ongoing expenses, which in turn delays profitability. BITF’s valuation picture is also not favorable. Its Value Score of F suggests a stretched valuation at present.
Image Source: Zacks Investment Research
Despite the recent weakness, BitMine stock still has superior price performance, which places it on an advantageous footing. Moreover, the Wall Street average target price of $75 for BMNR stock suggests an upside of more than 188% from current levels.
Image Source: Zacks Investment Research
Given the current scenario, BitMine emerges as a clear winner and appears to be the smarter investment now. BitMine currently carries a Zacks Rank #3 (Hold), while Bitfarms carries a Zacks Rank #4 (Sell).
Image: Bigstock
BMNR vs. BITF: Which Technology Services Stock Has an Edge at Present?
Key Takeaways
BitMine Immersion Technologies (BMNR - Free Report) and Bitfarms Limited (BITF - Free Report) are prominent names in the Zacks Technology Services industry. BitMine, based in Las Vegas, is a Bitcoin and Ethereum Network company. Ethereum is the world’s second-largest cryptocurrency. BitMine focuses on the accumulation of crypto for long-term investment.
Bitfarms, founded in 2017, is a North American energy and digital infrastructure company that develops and operates vertically integrated, advanced data centers and energy systems designed for high-performance computing and Bitcoin mining.
Given this backdrop, let us examine closely to find out which technology services player currently holds the edge, and more importantly, which might be the smarter investment now.
The Case for Bitfarms
Bitfarms is shifting its focus from being a purely Bitcoin-mining business to expanding into High-Performance Computing and AI (HPC/AI). Although this strategic move has driven strong revenue growth, the company’s gross mining margin remains a sticking point, raising questions about whether the challenge is temporary or signals a more fundamental issue. During the third-quarter 2025 conference call, management stated that the supply of computer chips is expected to surpass growth in data center infrastructure. This brings down BITF’s ability to deploy GPUs at scale swiftly, lowering revenue growth.
The company is likely to encounter substantial challenges as it moves deeper into the HPC/AI market. The business is heavily dependent on regulatory approvals, which can influence how efficiently it performs. Even with strong demand, securing long-term contracts remains essential for establishing stable, recurring revenue streams. Finally, the need for significant capital to build out data centers suggests that the company may have to take on considerable debt.
In the third quarter of 2025, Bitfarms’ revenues surged 156% year over year. However, its gross mining margin fell to 35%, dropping 1,100 basis points from the prior year and 1,000 basis points from the previous quarter. This decline stems largely from rising operational costs tied to reallocating capacity and divesting lower-margin mining assets in Argentina and Paraguay.
Additionally, Bitfarms invested in upgrading its 18 MW Washington facility to support HPC/AI workloads using advanced NVIDIA Vera Rubin GPUs — an initiative that requires significant short-term capital and operating expenses, thereby increasing overall costs. Management remains confident in Bitfarms’ ability to tap into a growing share of AI infrastructure demand and believes the company will ultimately exceed the capacity offered by conventional data centers.
Bitfarms recently revealed plans to transition its Washington facility to support HPC/AI workloads. The company’s 18 MW Bitcoin mining site in Washington will become its first fully converted HPC/AI operation, capable of delivering up to 190 kW per rack and utilizing advanced liquid-cooling technology. The conversion is slated for completion in December 2026.
The Case for BitMine
BitMine is the largest Ethereum (“ETH”) treasury company across the globe. The company shifted its strategy earlier this year, moving away from its traditional role as a Bitcoin mining operator to become the world’s largest corporate holder of Ethereum.
BitMine is led by Wall Street veteran and Fundstrat (a research advisory firm) co-founder Thomas Lee. Earlier this year, he became BitMine’s chairman of board of directors. Earlier this month, BMNR appointed Chi Tsang as its new chief executive officer. He has also been appointed as a member of the company's board.
BitMine is being well-served by the stablecoin revolution. Stablecoins are a specialized type of cryptocurrency designed to keep their value pegged to a specific asset, such as the U.S. dollar. This class of digital assets provides advantages like quicker and cheaper transactions, round-the-clock availability and seamless global accessibility. By offering low volatility, stablecoins serve as a bridge between the cryptocurrency ecosystem and traditional financial systems.
Earlier this year, BitMine closed on an initial $250 million PIPE private placement to fund its new strategy. The proceeds and other capital raises were utilized by BitMine to acquire large amounts of Ethereum. BitMine has significantly grown its ETH treasury, holding approximately 3.6 million ETH tokens, with combined crypto and cash assets exceeding $11 billion, per a recent release by BMNR. According to Lee, the company’s goal is to purchase 5% of the ETH supply.
BMNR’s Superior Price Performance
Driven by efforts to actively increase its Ethereum holdings, BMNR’s shares have skyrocketed in excess of 240% over the past six months, which is better than the impressive 138.5% surge in BITF’s shares.
End Note
BITF’s strategic pivot to the HPC/AI business positions it to diversify from the highly volatile Bitcoin mining operations. However, the plan is capital-intensive with uncertainty around recurring cash flows. As a direct consequence of BITF’s move, the growing demand for market power is likely to outpace supply, leading to increased capital and operational costs for new data center projects. This puts pressure on margins, requiring larger upfront investments and higher ongoing expenses, which in turn delays profitability. BITF’s valuation picture is also not favorable. Its Value Score of F suggests a stretched valuation at present.
Despite the recent weakness, BitMine stock still has superior price performance, which places it on an advantageous footing. Moreover, the Wall Street average target price of $75 for BMNR stock suggests an upside of more than 188% from current levels.
Given the current scenario, BitMine emerges as a clear winner and appears to be the smarter investment now. BitMine currently carries a Zacks Rank #3 (Hold), while Bitfarms carries a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here