ME News: On July 28 (UTC+8), Wall Street investment bank TD Cowen cut its price target for Bitcoin treasury company Nakamoto Inc. (NASDAQ: NAKA). The adjusted target price after the stock split was lowered from $40 to $17, a drop of 58%, while maintaining a "Buy" rating. TD Cowen analysts said the adjustment was mainly driven by pressure on Nakamoto’s highly leveraged capital structure from the decline in the Bitcoin price. Although the new target price of $17 still implies about 275% upside versus the current share price of $4.65, the company’s stock is highly sensitive to Bitcoin price volatility. TD Cowen expects Bitcoin to rebound to $100k by the end of 2026, about 25% below the $126k all-time high set in October last year. The firm also expects Nakamoto to pause further Bitcoin purchases before 2027. Analysts noted that Nakamoto’s core value still comes from its held Bitcoin assets; the company currently holds 4,467 BTC worth about $290 million, ranking 22nd among publicly listed companies worldwide by Bitcoin holdings. However, the company’s debt and preferred equity financing structure has also compressed the asset value available to common shareholders. In recent months, Nakamoto has completed multiple financial adjustments, including repaying about $45 million of debt, extending the $105 million principal maturity to June 2027, lowering financing costs, and approving a $25 million share repurchase program. In addition, the company has shut down its previously operated medical clinic business and will focus going forward on Bitcoin media, asset management, and consulting services. Data shows that NAKA’s share price is down more than 71% year-to-date, while Bitcoin is down about 26% over the same period. Market attention is shifting from “continuing to buy BTC” to Nakamoto’s treasury company balance-sheet structure and financing capacity. (Source: ChainCatcher)

BTC-3.07%

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