We recently published a list of the 10 Most Undervalued Bitcoin Mining Stocks to Buy Now. In this article, we are going to take a look at where CleanSpark, Inc. (NASDAQ:CLSK) stands against other most undervalued bitcoin mining stocks to buy now.

Trump’s Strategic Crypto Reserve and the Sentiment Around it

President Donald Trump recently signed an executive order to create a strategic crypto reserve that will include Bitcoin, Ether, XRP,  Solana’s SOL token, and Cardano’s ADA. The reserve would be funded by coins seized in criminal and civil forfeiture cases. The US government does not have any plans to buy more bitcoin. In a post on Truth Social, President Trump said:

“A U.S. Crypto Reserve will elevate this critical industry after years of corrupt attacks by the Biden Administration, which is why my Executive Order on Digital Assets directed the Presidential Working Group to move forward on a Crypto Strategic Reserve that includes XRP, SOL, and ADA. I will make sure the U.S. is the Crypto Capital of the World.”

The strategic reserve announcement, however, disappointed the crypto world, resulting in volatility in crypto prices. Investors were disappointed that it was not a more aggressive program. Matt Hougan, chief investment officer at Bitwise Asset Management, told CNBC’s Squawk Box Asia that “the market is short-term disappointed” the government did not announce it would begin acquiring 100,000 or 200,000 bitcoin immediately. Calling this fall in crypto prices a “short-term setback,” Hougan said:

“I think the market will soon find its footing and realize that actually this is incredibly bullish long term for this asset and for crypto as a whole.”

Does the Positive 2025 Crypto Outlook Still Stand?

CNBC reported that experts and investors anticipate crypto prices to fall even more before eventually rising to set new records. Their positive outlook for 2025 still holds, driven by regulatory tailwinds.

On March 10, Anthony Scaramucci, SkyBridge Capital founder and managing partner, appeared on CNBC’s ‘Squawk Box’ to talk about the state of Bitcoin and crypto, its long-term outlook, and more. He said that if we read through the current administration’s executive order, there is a lot of meat in there for bitcoiners. The problem with bitcoiners, unfortunately, is that they have been beaten down over the last four to five years. The expectations were thus very high that the Trump administration would come in and turn on a switch for the industry.

Commending David Sacks’ initiatives, Scaramucci said that Sacks is brilliantly trying to create a bi-partisan understanding of digital assets and their space in the United States. Trading is sloppy right now, but if we look forward to the next three to six months, we will likely see a lot more institutional buying. The fact that the United States is going to hold this asset would mean that other countries would ultimately end up buying this asset as well.

He said the Trump administration is trying to say that it wouldn’t spend tax-payer dollars on this initiative. Instead, it would find revenue-neutral ways to acquire bitcoin. These could include selling other assets under forfeiture to the United States and transitioning them into bitcoin. It is thus a step in the right direction. He was thus of the opinion that bitcoin is a very valuable long-term strategic asset.

Our Methodology

Since the Bitcoin mining industry is new and emerging, our criteria for determining undervalued bitcoin mining stocks involved examining analysts’ consensus price targets. We sifted through stock screeners, online rankings, and ETFs to compile a list of crypto mining stocks that analysts see at least 30% upside to over the next 12 months. We then selected the top 10 with the highest analyst upside potential as of March 17, 2025. We also added the number of hedge fund holders as of Q4 2024. We sourced the hedge fund sentiment data from Insider Monkey’s database. The list is sorted in ascending order of hedge fund sentiment.

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

CleanSpark, Inc. (NASDAQ:CLSK)

Analyst Upside: 176.04%

Number of Hedge Fund Holders: 27

CleanSpark, Inc. (NASDAQ:CLSK) is a bitcoin mining company that independently owns and operates data centers across the US, with locations in Georgia, Mississippi, Tennessee and Wyoming. It operates approximately 188,500 bitcoin mining machines, with a hash rate capacity of approximately 27.6 EH/s and a fleetwide efficiency of 21.94 joules per terahash (J/TH). CleanSpark, Inc. (NASDAQ:CLSK) has a range of subsidiaries, including ATL Data Centers LLC, CleanBlok, Inc., CleanSpark DW, LLC, CleanSpark GLP, LLC, and more.

The company boasts a broad portfolio strategy that includes 31 mining facilities across four states, with strategically selected locations expected to support its expansion. It is positioned to mine more bitcoin profitably due to the expansion of its operations, reaching 50 exahash by the first half of 2025 without relying on equity to fund the growth.

CleanSpark, Inc. (NASDAQ:CLSK) reported $162.3 million in revenue in fiscal Q1 2025, representing 120% growth compared to the same period last year. It closed the quarter with a net income of $246.8 million, while its adjusted EBITDA grew to $321.6 million, setting a new benchmark for the industry. This growth was attributed to bitcoin’s price appreciation during the quarter, the company’s smooth bitcoin mining operations, a disciplined capital strategy, and its long-term view of Bitcoin as a strategic asset.

Overall, CLSK ranks 7th on our list of the most undervalued bitcoin mining stocks to buy now. While we acknowledge the potential of CLSK as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than CLSK but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.