Galaxy Digital by Mike Novogratz attracts positive rating from Stifel Canada: target $20 CAD

Stifel Canada has resumed coverage of Galaxy Digital with a decidedly optimistic outlook. The investment bank has assigned the company a buy rating and set a target price of C$20, recognizing the platform’s potential for investors betting on the crypto ecosystem. Galaxy Digital, Mike Novogratz’s fintech company, positions itself as a preferred means to gain diversified exposure to the digital asset market, according to the Canadian bank’s analysis.

On the day the report was published, the stock declined 4.7% to C$13.11, reflecting the sector’s typical volatility. However, Stifel’s experts see this as a significant opportunity for medium- to long-term investors.

Stifel sees asymmetric potential in Galaxy Digital’s model

Analysts Bill Papanastasiou and Suthan Sukumar highlighted how Galaxy Digital offers a particularly attractive return profile. The company combines direct exposure to Bitcoin (currently at $67.86K) and Ethereum (traded at $2.05K) with a diversified revenue structure. In addition to asset management and investment banking activities, Galaxy Digital generates income from trading and infrastructure solutions.

“The company has maintained a strictly institutional approach with strong risk management protocols,” the analysts wrote in the report. This distinctive element has allowed Galaxy Digital, led by Mike Novogratz, to navigate the turbulence of the previous crypto cycle with greater resilience than many competitors.

Decentralized technologies and long-term growth opportunities

One of the key aspects highlighted by Stifel is Galaxy’s focus on crypto infrastructure. The company invests heavily in the fundamental technologies powering decentralized networks, a sector with disproportionate growth potential compared to the overall market.

This strategic positioning places Mike Novogratz and his team to benefit from both the possible expansion of institutional adoption and the technical evolution of the ecosystem.

Key catalysts toward stock appreciation

Stifel identified several factors that could push Galaxy Digital’s stock toward the target price of C$20. These include anticipated inflows into crypto-focused ETF funds, the development of the GalaxyOne platform, and—particularly relevant—a potential listing on Nasdaq.

Listing on Nasdaq would mark a significant turning point for Galaxy Digital, increasing institutional visibility and potentially attracting new investor segments. In the current environment, with crypto markets showing renewed interest, these catalysts could materialize in the coming quarters.

Stifel’s thesis on Galaxy Digital reflects the belief that Mike Novogratz has built a well-diversified and managed platform capable of leveraging the growth of the digital ecosystem while maintaining high governance standards.