Gemini stock slump may already factor in leadership exits, Mizuho says
The Block
Mizuho analysts maintain an 'outperform' rating on Gemini stock, suggesting recent declines reflect leadership departures.Summary
Mizuho analysts, Dan Dolev and Alexander Jenkins, reiterated their 'outperform' rating and $26 price target for Gemini Space Station (GEMI) stock, despite its recent slump near all-time lows. They believe the stock has likely already priced in the "disappointing" departure of the company's COO, CFO, and CLO. While Gemini's preliminary revenue slightly exceeded Mizuho's estimate, adjusted EBITDA losses were wider than expected. However, recent cost-cutting measures, including a 25% workforce reduction and exiting the UK, EU, and Australia, are expected to pave a path to profitability. Mizuho values Gemini at 7x estimated 2027 revenue, maintaining the $26 target, with a bull case of $43 and a bear case of $8.
(Source：The Block)