Analysts at TD Cowen have reduced the price target for SharpLink Gaming shares from $16 to $13 due to weak ETH performance in the second quarter and regulatory delays. This was reported by The Block citing the bank’s report.
Experts also revised their year-end forecast for Ethereum to $2370, down from a previous estimate of $3650.
In the longer term, analysts expect the following targets for Ether:
- End of 2027 — $3347;
- End of 2028 — $4554;
- End of 2029 — $5969.
The revision was prompted by slower implementation of a federal regulatory framework for tokenized financial assets in the U.S., including delays in passing the CLARITY Act.
Despite the short-term forecast reduction, TD Cowen stated that the core investment strategy for SharpLink remains unchanged, highlighting the company’s capital allocation in June. This included direct financing of $75 million, the purchase of 10,000 ETH, and the repurchase of 2.13 million common shares at an average price of $4.69.
According to the bank’s estimates, SharpLink’s accumulated ETH holdings will reach 940,000 by year-end, with a net asset value of $9.13 per share. More precise forecasts will be possible after the quarterly report in August, analysts noted.
At the time of writing, SBET shares are trading around $6, having gained over 5% in the past week.
Earlier, in May, SharpLink CEO Joseph Shalom criticized Strategy’s approach to managing crypto assets and stated that Ethereum companies are moving away from the capital management model popularized by Michael Saylor.
