Cango Receives Buy Rating, Upbeat on its Asset-light Mining Model and AI Potential

Rhea-AI Summary

Cango (NYSE: CANG) was initiated with a buy rating and a US$4.00 price target by Greenridge Capital on December 24, 2025.

The report cites Cango's asset-light approach and AI/HPC potential, listing key assets: over US$600 million in BTC under a HODL strategy, a 50 EH/s global mining fleet, and a 50MW data center acquired in Q3 2025. Greenridge cites cost reductions and a strong cash position as supportive.

Strategic growth targets include securing power supply and the "Energy + HPC" plan, with two pilots: a solar+storage pilot in Oman and a 150MW power project in Indonesia (potential to expand to 300MW). Valuation uses a blended approach: 7x EV/Adj. EBITDA on a 2026 Adj. EBITDA est. US$335.4M and 15x P/E on a 2026 diluted EPS est. US$0.34; the model currently excludes value for developing energy projects.

Positive

• Liquid BTC holdings of >US$600 million
• Mining capacity of 50 EH/s globally
• 50MW U.S. data center acquired in Q3 2025
• 2026 adjusted EBITDA estimate of US$335.4 million
• Initiation with a buy rating and US$4.00 target

Negative

• Valuation model excludes developing energy projects value
• Energy projects currently at pilot or development stage
• Future value depends on securing power supply and project milestones

News Market Reaction – CANG

+2.24%

2 alerts

+2.24% Session close to close

$485.65M Market Cap

0.5x Rel. Volume

In the Dec 24 session, CANG gained 2.24%, reflecting a moderate positive market reaction. Our momentum scanner triggered 2 alerts that day, indicating moderate trading interest and price volatility.

Data tracked by StockTitan Argus on the day of publication.

Market Context

This announcement highlights a favorable analyst view on Cango’s Bitcoin mining scale, over US$600 m...

Analysis

This announcement highlights a favorable analyst view on Cango’s Bitcoin mining scale, over US$600 million in BTC holdings, and its “Energy + HPC” strategy supported by assets like a 50MW Georgia data center and a 150MW Indonesia project. Investors may watch how these projects progress, how 2026 targets such as US$335.4 million adjusted EBITDA evolve, and how the US$500,000,000 shelf is ultimately used.

Key Figures

Target price: US$4.00 BTC holdings: Over US$600 million Current price: US$1.34 +5 more

8 metrics

Target price US$4.00 Greenridge Capital rating

BTC holdings Over US$600 million Bitcoin held under HODL strategy

Current price US$1.34 Pre-news trading level vs. US$4.00 target

Mining capacity 50 EH/s Globally distributed Bitcoin mining portfolio

Georgia data center 50MW U.S. data center acquired in Q3 2025

Indonesia power project 150MW (up to 300MW) Power generation facility under development

2026 adj. EBITDA US$335.4 million Valuation base for EV/Adjusted EBITDA multiple

2026 diluted EPS US$0.34 Valuation base for 15x P/E multiple

Key Terms

HODL, high-performance computing (HPC), EV/Adjusted EBITDA, P/E multiple, +2 more

6 terms

HODL financial

"over US$600 million in BTC held under a strict HODL strategy"

"Hodl" is a term used by investors to describe holding onto their investments, especially during times of market ups and downs, instead of selling. It comes from a misspelling of "hold" that became popular online and encourages people to stay committed to their assets despite short-term fluctuations. For investors, "hodl" emphasizes patience and confidence in the long-term value of their holdings.

high-performance computing (HPC) technical

"asset-light model for entry into the high-performance computing (HPC) market"

High-performance computing (HPC) involves using powerful computers to process complex data and run large-scale calculations much faster than regular computers. It helps organizations solve challenging problems, such as predicting market trends or analyzing scientific data, enabling quicker decision-making. For investors, HPC can highlight advancements in technology and innovation that may impact various industries and market opportunities.

EV/Adjusted EBITDA financial

"an EV/Adjusted EBITDA multiple of 7x applied to a 2026 adjusted EBITDA estimate"

EV/Adjusted EBITDA is a valuation ratio that compares a company’s total value (debt plus equity minus cash) to its earnings before interest, taxes, depreciation and amortization after removing one-time or unusual items. It tells investors how many years of those adjusted cash-like earnings would be needed to pay for the whole business, like comparing a house price to its annual rental income, helping assess relative cheapness or expensiveness between companies.

P/E multiple financial

"a P/E multiple of 15x applied to a 2026 diluted EPS estimate"

P/E multiple is the ratio of a stock’s market price to the company’s earnings per share, showing how much investors are willing to pay for each dollar of profit. It matters because it gives a quick way to judge whether a stock looks expensive or cheap compared with peers or historical levels — like seeing how many years of a company’s current earnings you’d pay for the whole business, which helps guide buy or sell decisions.

diluted EPS financial

"a 2026 diluted EPS estimate of US$0.34"

Diluted earnings per share (EPS) shows how much profit a company makes for each share of stock, assuming all possible shares from stock options or convertible securities are used. It provides a more conservative estimate than basic EPS, accounting for potential share increases that could dilute ownership. Investors use diluted EPS to get a clearer picture of a company's true profitability on a per-share basis.

Bitcoin mining technical

"given its market leading Bitcoin mining status and asset-light model"

Bitcoin mining is the process of using computers to solve complex puzzles that verify and add transactions to Bitcoin’s public ledger; successful miners are rewarded with newly created bitcoins and transaction fees. It matters to investors because mining controls how new coins enter circulation, affects the security and reliability of the network, and creates a business model exposed to electricity costs, hardware investment and the coin’s market price—factors that influence profitability and company valuations.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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DALLAS, Texas, Dec. 24, 2025 /PRNewswire/ -- Greenridge Capital has initiated coverage on Cango Inc. (NYSE: CANG) ("Cango" or the "Company") with a buy rating and US$4.00 target price, noting that Cango appears to be "mispriced and overlooked by the market given its market leading Bitcoin mining status and asset-light model for entry into the high-performance computing (HPC) market."

According to the Greenridge Capital report, Cango is trading below the value of its assets, which include liquid holdings in cash and over US$600 million in BTC held under a strict HODL strategy, a 50 EH/s globally distributed mining portfolio, and a 50MW data center in the U.S. state of Georgia (acquired in Q3 of 2025). The report also points out ongoing cost reduction measures, suggesting operational discipline, and Cango's ability to capitalize on future opportunities with its strong financial position.

Looking ahead, Cango's strategy to diversify revenue and enhance profitability focuses on securing control over its own power supply, a key strategic step for future AI data center or Bitcoin mining operations. The report highlights Cango's "Energy + HPC" plan, which targets expansion into flexible energy and data infrastructure projects with higher margin opportunities and cash generation potential. Supporting this expansion are two pilot projects already underway: a pilot solar generation and storage project in Oman and a 150MW power generation facility in Indonesia, which it is developing with a partner and could potentially be expanded to 300MW in future. Further updates from management are expected in coming months.

Greenridge Capital's US$4.00 price target is based on a blended valuation approach using two methodologies: (1) an EV/Adjusted EBITDA multiple of 7x applied to a 2026 adjusted EBITDA estimate of US$335.4 million, and (2) a P/E multiple of 15x applied to a 2026 diluted EPS estimate of US$0.34. Both multiples are conservative relative to industry peers. Notably, this valuation does not yet assign value to Cango's developing energy infrastructure projects, which could unlock substantial value in the future as project milestones are achieved.

About Cango Inc.

Cango Inc. (NYSE: CANG) is primarily engaged in the Bitcoin mining business, with operations strategically deployed across North America, the Middle East, South America, and East Africa. The Company entered the crypto asset space in November 2024, driven by advancements in blockchain technology, the growing adoption of digital assets, and its commitment to diversifying its business portfolio. In parallel, Cango continues to operate an online international used car export business through AutoCango.com, making it easier for global customers to access high-quality vehicle inventory from China. For more information, please visit: www.cangoonline.com.

Safe Harbor Statement

This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" and similar statements. Among other things, the "Roadmap Forward" section and quotations from management in this announcement, contain forward-looking statements. Cango may also make written or oral forward-looking statements in its periodic reports to the SEC, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about Cango's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: Cango's plan to terminate its ADR program and list its Class A ordinary shares directly on the NYSE and potential benefits from such change; Cango's goal and strategies; Cango's expansion plans; Cango's future business development, financial condition and results of operations; Cango's expectations regarding demand for, and market acceptance of, its solutions and services; general economic and business conditions; and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in Cango's filings with the SEC. All information provided in this press release and in the attachments is as of the date of this press release, and Cango does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

Investor Relations Contact

Juliet Ye, Head of Communications
Cango Inc.
Email: ir@cangoonline.com 

Christensen Advisory
Tel: +852 2117 0861
Email: cango@christensencomms.com 

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SOURCE Cango Inc.

FAQ

What price target and rating did Greenridge Capital give Cango (CANG) on Dec 24, 2025?

Greenridge initiated coverage with a buy rating and a US$4.00 price target.

How much Bitcoin does Cango (CANG) hold according to the Greenridge report?

The report cites liquid holdings including over US$600 million in BTC under a HODL strategy.

What operational assets does Cango (CANG) report own as of Q3 2025?

Cango's assets include a 50 EH/s mining portfolio and a 50MW data center acquired in Q3 2025.

What 2026 financial estimates did Greenridge use for Cango (CANG) valuation?

Valuation used a 2026 adjusted EBITDA estimate of US$335.4M and a 2026 diluted EPS estimate of US$0.34.

What are Cango (CANG) growth initiatives related to energy and AI/HPC?

Cango targets power control and an "Energy + HPC" plan, including a solar+storage pilot in Oman and a 150MW Indonesia project.

Does Greenridge's valuation include Cango's developing energy infrastructure projects?

No — the report's blended valuation currently does not assign value to developing energy projects.