Analysts from investment bank B. Riley have reaffirmed a buy rating for WhiteFiber (WYFI), despite adjusting their price target from $44 to $40 due to more cautious predictions regarding cloud services. This revised target indicates a potential upside of approximately 127% from the stock's recent close of $17.62, which has dropped over 50% from its peak two months ago.
WhiteFiber has secured its first long-term colocation agreement with Nscale Global at its flagship NC-1 campus, a move that aligns with the company’s deployment timeline. B. Riley analysts, Nick Giles and Fedor Shabalin, highlighted this contract as evidence of WhiteFiber's operational capabilities and its effective retrofit model.
The company is reportedly in advanced discussions with lenders to secure a construction facility expected to finalize in early 2026, which may include enhancements to reduce capital costs. Current evaluations suggest WhiteFiber trades at about 11x EV/EBITDA based on 2026 projections, presenting a notable discount compared to industry peers.