FG Nexus stock initiated with Buy rating at B.Riley on ETH strategy By Investing.com
Key Takeaways
- B.Riley initiated coverage on FG Nexus (FGNX) with a Buy rating and an $8.00 price target.
- FG Nexus is structured as a Digital Asset Trust Company aiming to secure a 10% stake in the Ethereum network.
- The company maintains legacy businesses in merchant banking and technical services.
- B.Riley forecasts significant growth in Ethereum holdings, potentially reaching 214,000 coins by year-end 2026.
- FG Nexus recently filed a $5 billion shelf registration with the SEC to support its Ethereum acquisition strategy.
B.Riley initiated coverage on FG Nexus Inc (FGNX) with a Buy rating and an $8.00 price target, suggesting significant upside from the $3.82 current price, although InvestingPro data shows a consensus Buy target of $12.00. FG Nexus is described as a Digital Asset Trust Company focused on securing a 10% stake in the Ethereum network, while also maintaining merchant banking and technical services businesses. Analyst Fedor Shabalin believes institutional partnerships and yield strategies will support accretive Ethereum accumulation, forecasting the company's premium to modified NAV to expand. Projections indicate FG Nexus could hold 214,000 Ethereum coins by the end of 2026. Recent corporate activity includes filing a resale registration for shares from a $200 million private placement and filing a $5 billion shelf registration with the SEC, intended to support its Ethereum acquisition strategy, though this filing is not yet effective.
