Cango Inc. Gains Positive Outlook with Initiation of Coverage by Apollo Insights

Rhea-AI Summary

Cango, a rising force in Bitcoin mining, received coverage initiation from Apollo Insights on April 22, 2025. The company, with a market cap of $387.1 million and stock range of $1.33-$8.00, has shown remarkable growth since entering the industry in November 2024.

Key highlights include projected revenue of RMB3,913.2 million and adjusted EBITDA of RMB665.6 million for 2025E, with expected increases of 18.7% and 78.1% respectively in 2026E. Cango achieved a significant operating hash rate of 30.3 EH/s in March 2025, ranking joint second highest for the month.

The company holds 2,475 Bitcoin (valued at US$211 million as of April 17, 2025) and operates globally across:

• U.S. (38%)
• East Africa (37%)
• Oman (15%)
• Paraguay (9%)
• Canada (1%)

Cango's deployed hashrate is projected to reach 42 EH/s by end-FY25E.

Positive

• Market cap of $387.1 million shows significant company value
• Projected 18.7% YoY revenue growth to RMB4,644.6 million in FY2026E
• Strong EBITDA growth projection of 78.1% YoY to RMB1,185.2 million in FY2026E
• Substantial Bitcoin holdings of 2,475 BTC valued at ~$211 million
• High operating hash rate of 30.3 EH/s, ranking joint second in the industry
• Rapid scaling to become 5th largest Bitcoin mining player in just 4 months
• Diversified global operations across 5 countries reducing geographic risk
• Expected hash rate increase to 42 EH/s by end of FY25E

Negative

• High volatility in stock price ($1.33 - $8.00 range)
• Holding strategy of not selling any Bitcoin exposes to crypto market volatility
• Heavy dependence on regulatory environment and Trump administration policies
• Rapid expansion could pose operational risks

SHANGHAI, April 29, 2025 /PRNewswire/ -- Cango Inc. (NYSE: CANG) ("Cango" or the "Company"), a rapidly expanding leader in Bitcoin mining, announced the initiation of coverage by Apollo Insights, an independent equity research firm.

Apollo Insights initiated coverage on Cango on April 22, 2025, following the release of its equity research report and investment thesis titled "Cango Catapults Into Bitcoin Mining".

The equity research report highlights include:

• The Company has a market capitalization of $387.1 million
• The 12-month low and high for the Company's stock is $1.33 and $8.00, respectively.
• Apollo Insights estimates that Cango's fiscal 2025E revenue and adjusted EBITDA will reach RMB3,913.2 million and RMB665.6 million, respectively
• In fiscal 2026E, revenue and adjusted EBITDA are projected to reach RMB4,644.6 million (an 18.7% year-over-year increase) and RMB1,185.2 million (a 78.1% year-over-year increase), respectively.
• The firm attributes its favorable outlook for Cango to a supportive regulatory environment under the Trump administration and the potential for greater clarity in cryptocurrency regulations.

The initiation of coverage underscores Cango's remarkable rise in the Bitcoin mining industry in a short time. The Company has developed its mining operation at a lower cost and reduced operational risks through strategic partnerships for acquiring Bitcoin mining equipment. This higher overall operating efficiency ensured the Company generated an average operating hash rate of 30.3 exahash/second (EH/s) in March 2025, placing Cango in joint second for the highest operating hashrate in the month.

The Company's capital-light model has helped it accumulate holdings of approximately 2,475 Bitcoin as end-March 2025, valued at roughly US$211 million as of April 17, 2025. Cango has not sold any of its Bitcoin holdings yet. Overall, as of March 2025, Cango ranks as the fifth-largest Bitcoin mining player by deployed hashrate, achieving 32 EH/s in just four months. The report projects that its deployed hashrate will reach 42 EH/s by the end of FY25E.

Since entering the Bitcoin mining industry in November 2024, Cango has expanded its global footprint across strategic regions. Its mining operations now span the U.S. (38%), East Africa (37%), Oman (15%), Paraguay (9%), and Canada (1%).

Click here to view Apollo Insights' full equity research report and investment thesis on Cango.

About Cango Inc.

Cango Inc. (NYSE: CANG) primarily operates a leading Bitcoin mining business. Cango has deployed its mining operation across strategic locations including North America, Middle East, South America, and East Africa. Cango expanded into the crypto assets market in November 2024, driven by the development in blockchain technology, increasing prevalence of crypto assets and its endeavor to diversify its business. Meanwhile, Cango has continued to operate the automotive transaction service in China since 2010, aiming to make car purchases simple and enjoyable. For more information, please visit: www.cangoonline.com.

Media Contact

Juliet Ye
Cango Inc.
Tel: +86 21 3183 5088 ext.5581
Email: ir@cangoonline.com 

 

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SOURCE Cango Inc.

FAQ

What is Cango (CANG) projected Bitcoin mining hashrate by end of 2025?

According to Apollo Insights' report, Cango (CANG) is projected to reach a deployed hashrate of 42 EH/s by the end of fiscal year 2025, up from its current 30.3 EH/s as of March 2025.

How many Bitcoin does Cango (CANG) hold as of March 2025?

Cango (CANG) holds approximately 2,475 Bitcoin as of end-March 2025, valued at approximately US$211 million as of April 17, 2025. The company has not sold any of its Bitcoin holdings.

What is Cango's (CANG) expected revenue growth for 2026?

Apollo Insights projects Cango's fiscal 2026 revenue to reach RMB4,644.6 million, representing an 18.7% year-over-year increase from 2025's estimated revenue.

Where are Cango's (CANG) Bitcoin mining operations located?

Cango's Bitcoin mining operations are globally distributed across five regions: United States (38%), East Africa (37%), Oman (15%), Paraguay (9%), and Canada (1%).

What is Cango's (CANG) current market position in Bitcoin mining?

As of March 2025, Cango ranks as the fifth-largest Bitcoin mining player by deployed hashrate, achieving 32 EH/s in just four months since entering the industry in November 2024.