Greenridge Capital has initiated coverage on Cango Inc. (NYSE: CANG) ("Cango" or the "Company") with a buy rating and US$4.00 target price, noting that Cango appears to be "mispriced and overlooked by the market given its market leading Bitcoin mining status and asset-light model for entry into the high-performance computing (HPC) market."

According to the Greenridge Capital report, Cango is trading below the value of its assets, which include liquid holdings in cash and over US$600 million in BTC held under a strict HODL strategy, a 50 EH/s globally distributed mining portfolio, and a 50MW data center in the U.S. state of Georgia (acquired in Q3 of 2025). The report also points out ongoing cost reduction measures, suggesting operational discipline, and Cango's ability to capitalize on future opportunities with its strong financial position.

Looking ahead, Cango's strategy to diversify revenue and enhance profitability focuses on securing control over its own power supply, a key strategic step for future AI data center or Bitcoin mining operations. The report highlights Cango's "Energy + HPC" plan, which targets expansion into flexible energy and data infrastructure projects with higher margin opportunities and cash generation potential. Supporting this expansion are two pilot projects already underway: a pilot solar generation and storage project in Oman and a 150MW power generation facility in Indonesia, which it is developing with a partner and could potentially be expanded to 300MW in future. Further updates from management are expected in coming months.

Greenridge Capital's US$4.00 price target is based on a blended valuation approach using two methodologies: (1) an EV/Adjusted EBITDA multiple of 7x applied to a 2026 adjusted EBITDA estimate of US$335.4 million, and (2) a P/E multiple of 15x applied to a 2026 diluted EPS estimate of US$0.34. Both multiples are conservative relative to industry peers. Notably, this valuation does not yet assign value to Cango's developing energy infrastructure projects, which could unlock substantial value in the future as project milestones are achieved.