Login

Gryphon Digital Mining Inc.

Recommendation: Speculative Buy

Entry Date Symbol Recommendation Entry Price (USD) Target 1 (USD) Target 2 (USD) Holding Duration Position Status Return(%)*
10 Jun, 25 GRYP Speculative Buy USD 1.17 USD 1.23 USD 1.3 2 days Closed 9.50%

*Return(%) represent the percentage change between the entry price and exit price of the recommendation.

Fundamentals

  • Previous Close 1.17
  • Market Cap51.05M
  • Volume18197712
  • P/E Ratio-
  • Dividend Yield-%
  • EBITDA3.51M
  • Revenue TTM24.34M
  • Revenue Per Share TTM0.91
  • Gross Profit TTM 8.23M
  • Diluted EPS TTM-44.6

Data Powered by EOD Historical Data (“EODHD”).

Company Overview

Gryphon Digital Mining, Inc. operates as a bitcoin mining company in the United States. It operates mining computers and ESG-led mining. The company was founded in 2020 and is based in Las Vegas, Nevada.

Key Positives

Cash position more than doubled, increasing from $368k to $735k in Q4 2024

Debt reduction of over 70%, including the conversion of $13 million in debt to equity and favorable restructuring of $5 million remaining debt.

Key Negatives

Breakeven cost per Bitcoin surged to $75,872 in Q4 2024, up from $23,902 in Q4 2023 — a nearly threefold increase, pressuring profitability

Despite a slight increase in mining revenue to $3.845 million, the company had to rely heavily on non-cash adjustments to achieve net income of just $0.4 million

Key Investment Risks

The company’s reliance on high-cost Bitcoin mining, coupled with extreme sensitivity to crypto market volatility and a pending acquisition that may dilute shareholder value or strain resources, poses a significant operational and financial risk

Recommendation Summary

Technical Summary

Entry Price Support* Target 1 Target 2
1.17 1.08 1.23 1.3

Data Source: REFINITIV, Analysis: StockNextt

*Support can be considered as an indicative stop-loss, and if prices move below that level on closing basis individuals may evaluate exiting the position depending on their risk appetite, previous holdings, and other factors considered. The support and resistance levels may need to be re-evaluated within 4-6 weeks’ time frame depending on the stock price movements from the date of recommendation on the stock.

Key Reasons for Speculative Buy

  • Gryphon Digital Mining to Merge with American Bitcoin Corp. in Strategic Stock-for-Stock Deal: GRYP announced that it has signed a definitive merger agreement with American Bitcoin Corp., a Bitcoin accumulation platform dedicated to developing the nation’s Bitcoin infrastructure. Under the terms of the stock-for-stock transaction, Gryphon will acquire American Bitcoin. Following the merger, the combined entity will operate under the American Bitcoin brand, with American Bitcoin’s management team and board of directors at the helm. The new company will trade on Nasdaq under the ticker symbol ‘ABTC’.
  • Public Listing and Executive Team Strengthening: Gryphon Digital Mining (NASDAQ: GRYP), a company innovating in bitcoin mining, high-performance computing (HPC), and AI, announced today its financial results for the fourth quarter and full year ended December 31, 2024. The year marked a period of significant transformation for the Company, highlighted by its public listing on NASDAQ in February 2024. This milestone was followed by a strategic reshaping of the leadership team in the third quarter, including the appointment of a new CEO, retention of the CFO, and the addition of a Senior Vice President of Energy Strategy and new board members, all contributing to strengthened executive capabilities.
  • Operational and Strategic Initiatives: The latter part of 2024 saw Gryphon initiate and execute a series of key operational and strategic actions designed to improve the Company’s financial structure and market position. These included a successful refinancing of debt, an equity raise with participation from both management and the board, and the signing of a definitive agreement to acquire Captus Energy, a scalable 4GW HPC/AI asset based in Alberta. Gryphon views the Captus Energy Acquisition as a pivotal step, offering substantial long-term growth potential and aligning with the Company’s strategy to diversify and scale its operations.
  • Fourth Quarter Financial Performance and Improvements: The fourth quarter of 2024 marked a period of substantial financial improvement. Gryphon more than doubled its cash and cash equivalents from USD 368,000 to USD 735,000, converted USD 13 million of debt to equity, and improved its shareholder equity deficit from (USD 18.9 million) to (USD 7.0 million). The average daily trading volume of its stock also increased significantly, rising from approximately 249,000 shares in Q3 to 874,000 shares in Q4. These results reflect enhanced investor confidence and a stronger financial foundation heading into 2025.
  • Debt Reduction and Strategic Financing: In a major financial restructuring, Gryphon reduced its total debt by over 70% through a combination of debt-to-equity conversion and favorable refinancing terms. Notably, USD 13 million of debt held by Anchorage Digital was converted into equity and pre-funded warrants. An additional USD 5 million in debt was restructured, and Anchorage was issued warrants for 2 million shares at USD 1.50 per share, becoming Gryphon’s largest shareholder and gaining a board seat. The Company also closed a non-brokered USD 2.85 million financing round, with full participation from management and a majority of the board.
  • Mining Operations and Cost Management: Gryphon reported mining revenues of USD 3.845 million for Q4 2024, a modest increase from USD 3.689 million in the previous quarter. The Company mined approximately 61 Bitcoin in the quarter, down from 176 in Q4 2023, with a breakeven cost per Bitcoin of USD 75,872 compared to USD 23,902 in the same quarter the previous year. Gryphon emphasized its focus on operational cost discipline, noting that cash payroll expenses represented just 6.5% of total revenue, well below its target of 10%.
  • Balance Sheet Overview and Forward Outlook: As of December 31, 2024, Gryphon reported total assets of USD 7.6 million, including USD 0.7 million in cash, USD 1.0 million in Bitcoin, and USD 3.6 million in mining-related assets. Total liabilities stood at USD 14.6 million, with current liabilities at USD 9.3 million. Looking ahead, the Company is focused on closing the Captus Energy Acquisition and advancing the development of that asset. Gryphon anticipates that this acquisition will serve as a launchpad for future growth and value creation, reinforcing its commitment to delivering long-term returns to shareholders.

As per the above-mentioned price action, recent key business and financial updates, momentum in the stock over the last month, and technical indicators analysis, a ‘Speculative Buy’ rating has been given to Gryphon Digital Mining, Inc (NASDAQ: GRYP) at the closing market price of USD 1.17 as of June 09,2025.

Key Financials in Pictures

Income Statement

Balance Sheet

Change in Cash

Total Operating Cash

Data Powered by EOD Historical Data (“EODHD”).

Peer Comparison

Sector: Financial Services Industry: Capital Markets

Company Change (USD) Price (USD) Trailing PE (x) Forward PE (x) Price Sales TTM (x) Price to Book Value (x) Enterprise Value to Revenue (x) Enterprise Value to EBITDA (x)
GRYP
Gryphon Digital Mining Inc.
0.14 11.97% 1.31 - - 2.60 1.80 9.76 -10.1839
MS
Morgan Stanley
1.28 0.90% 144.14 16.50 13.76 2.80 1.65
CGXYY
China Galaxy Securities Co Ltd ADR
- -% 26.50 144.44 86.21 4.25 7.96
SCHW
Charles Schwab Corp
0.14 0.15% 91.48 22.86 17.39 6.14 4.28
GS
Goldman Sachs Group Inc
7.79 1.09% 723.68 18.44 10.60 2.83 1.16

Data Powered by EOD Historical Data (“EODHD”).

Disclosures:

Related Risk: This report may be looked at from a high-risk perspective and a recommendation is provided for a short duration. This report is solely based on technical parameters, and the fundamental performance of the stocks has not been considered in the decision-making process. Other factors which could impact the stock prices include market risks, regulatory risks, interest rates risks, currency risks, social and political instability risks etc.

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance level is June 09,2025. The reference data in this report has been partly sourced from REFINITIV.

Technical Indicators Defined: -

Support: A level at which the stock prices tend to find support if they are falling, and a downtrend may take a pause backed by demand or buying interest. Support 1 refers to the nearby support level for the stock and if the price breaches the level, then Support 2 may act as the crucial support level for the stock.
Target: A level at which the stock prices tend to find resistance when they are rising, and an uptrend may take a pause due to profit booking or selling interest. Target 1 refers to the nearby resistance level for the stock and if the price surpasses the level, then Target 2 may act as the crucial resistance level for the stock.
Stop-loss: It is a level to protect further losses in case of unfavourable movement in the stock prices.

Disclaimer :
This report has been issued by StockNextt which has an Ontario Business Identification Number 1000958347 and British Columbia registration Number FM1051529 is a trade name under Kalkine Canada Advisory Services Inc. having Business Number 761925130BC0001. Kalkine Canada Advisory Services Inc. and StockNextt are collectively referred to as “StockNextt”, “we”, “us”, and “our”. The website https://stocknextt.com and associated pages are published by StockNextt. The information in this report and on the StockNextt website has been prepared from a wide variety of sources, which StockNextt, to the best of its knowledge and belief, considers accurate. StcokNextt has made every effort to ensure the reliability of information contained in its reports, newsletters, and websites. All information represents our views at the date of publication and may change without notice. The information in this report does not constitute an offer to sell securities or other financial products or a solicitation of an offer to buy securities or other financial products. Our reports contain general recommendations for investing in securities and other financial products. StockNextt does not offer financial advice based upon your personal financial situation or goals, and we shall not be held liable for any investment or trading losses you may incur by using the opinions expressed in our reports, publications, market updates, news alerts and corporate profiles. StockNextt does not intend to exclude any liability which it is not permitted to exclude under applicable law or regulation. StockNextt’s general advice does not in any way endorse or recommend individuals, investment products or services for your personal financial situation. You should discuss your portfolios and the risk tolerance level appropriate for your personal financial situation, with a professional authorised financial planner and adviser. You should be aware that the value of any investment and the income from it can go down as well as up and you may not get back the amount invested. Please also read our Terms and conditions for further information. Employees and/or associates of StockNextt and its related entities may hold an interest in the securities or other financial products covered in this report or on the StockNextt website. Any such employees and associates are required to comply with certain safeguards, procedures and disclosures as required by law.

Copyright © 2023 Krish Capital Pty Ltd. All rights reserved. No part of this website, or its content, may be reproduced in any form without our prior consent.