Citizens Launches Coverage of SharpLink Gaming With 200% Upside
Citizens has initiated coverage of SharpLink Gaming (SBET), assigning a market outperform rating and a $50 price target, implying potential upside of over 200%, according to a Wednesday report. In early trading, the stock climbed roughly 2% to $15.45.
The bank’s bullish stance is underpinned by a long-term positive outlook on Ethereum (ETH), projecting ETH above $7,000 by 2026 and potentially exceeding $20,000 by 2030. SharpLink has rapidly emerged as a leading ETH treasury operator, amassing a substantial ETH position and deploying it into staking and other yield-generating strategies to compound value over time.
Active ETH Treasury Strategy
Unlike passive crypto holdings, SharpLink actively manages its ETH balance sheet, issuing equity at a premium to NAV, repurchasing shares when trading below NAV, and leveraging its ETH reserves to capture on-chain yield opportunities, analysts led by Devin Ryan wrote.
Citizens describes this as a “flywheel” strategy, intended to grow NAV per share as Ethereum adoption and institutional participation expand. The leadership team, including Ethereum co-founder Joseph Lubin as Chairman and former BlackRock executive Joseph Chalom as Co-CEO, combines crypto-native expertise with institutional capital market experience, supporting the company’s long-term growth potential.
Market Positioning and Capital Raise
SharpLink is positioned to become a market leader as ETH matures into a global financial asset. By combining on-chain operational leverage with off-chain financial discipline, the stock offers a compelling alternative to traditional digital asset investment vehicles and may merit a valuation premium.
The company recently raised $76.5 million in a direct stock offering priced above market, strengthening its treasury strategy and fueling its expansion plans.
