CleanSpark Inc. (CLSK) shares surged more than 9% in late Tuesday trading, bucking a broader market downturn, after analysts at Bernstein highlighted the growing role of bitcoin miners as potential power providers for artificial intelligence data centers. The stock closed at $14.69, up 9.3%, after hitting an intraday high of $14.93.
The move comes as investors increasingly view certain bitcoin miners not merely as proxies for cryptocurrency exposure, but as infrastructure plays capable of converting their power agreements, land holdings, and data-center footprints into high-performance computing resources for AI workloads. Bernstein analysts led by Gautam Chhugani called miners an “integral part of the AI value chain,” according to a report cited by Sherwood News.
Bernstein set a $24 price target on CleanSpark, implying roughly 63% upside from Tuesday’s close. The firm noted that the mining sector has announced over $90 billion in AI-related deals, encompassing 3.7 gigawatts of capacity. A gigawatt equals 1,000 megawatts.
CleanSpark’s gains outpaced both bitcoin and most of its mining peers. Bitcoin traded near $76,944, remaining mostly flat on the day. Among other miners, MARA Holdings added 2.3%, while Riot Platforms fell 2.3%. The broader U.S. stock market closed lower, with the Nasdaq leading declines as Treasury yields climbed amid lingering inflation concerns.
The rally comes just days after CleanSpark reported disappointing fiscal results. The company posted a 24.9% drop in revenue to $136.4 million and a net loss of $378.3 million, driven largely by fair-value adjustments on its bitcoin holdings. Under mark-to-market accounting, digital asset values are revalued to current market prices, which can produce significant swings.
Despite the weak earnings, CleanSpark’s management is steering investor attention toward its AI pivot. In its April operational update, the company reported mining 640 bitcoin during the month and holding 13,453 bitcoin as of April 30. It also said it had 1.8 gigawatts of power under contract. CEO Matt Schultz stated, “Bitcoin mining funds the platform, AI monetizes it.”
CFO Gary Vecchiarelli told analysts on the May 11 earnings call that mining remains the core business, but AI and high-performance computing could generate longer-term cash flows. He highlighted the company’s liquidity position of nearly $1.2 billion as of March 31, comprising $260 million in cash and 13,561 bitcoin, along with $400 million in bitcoin-backed credit capacity.
CleanSpark is actively pursuing AI tenancy at several sites, including Sandersville, Georgia, and locations in Texas. Schultz mentioned that the company is moving forward with a main prospective tenant for Sandersville and has about 900 megawatts of potential utility capacity split between Sealy and Brazoria near Houston.
However, the AI pivot is not without risks. Nic Puckrin, co-founder of Coin Bureau, cautioned that not every miner shifting to AI will “automatically be a winner.” Bernstein also noted ongoing sector challenges, including permitting, zoning, environmental, and grid-capacity issues. CleanSpark itself cites risks such as bitcoin price volatility, power supply limitations, regulatory approvals, and the performance of its non-bitcoin data-center business. The company warned that a late hyperscale lease, softer bitcoin prices, or tighter lending conditions could refocus attention on its loss-making quarter.
