Semler jumps on Benchmark initiating coverage with a “buy” rating

Benchmark Equity Research initiated coverage of Semler Scientific today with a “buy” rating and a price target of $101, a 159% upside from today’s price, following the company’s bitcoin pivot in May.

Shares of Semler, the 15th-largest corporate Bitcoin holder, with 4,449 bitcoin, were up more than 9% in early trading. 

Benchmark analyst Mark Palmer said drivers for the rating include the company’s adoption of the bitcoin standard, which boosted the stock. He added that despite that, its valuation lags peers.

Palmer also noted the company’s “ambitious three-year goals for expansion of bitcoin treasury,” with plans to accumulate 10,000 by year-end 2025, 42,000 by year-end 2026, and 105,000 by year-end 2027.

Finally, Palmer said that resolving its legacy healthcare business headwinds, which include “the overhang from a Department of Justice investigation,” could boost its valuation.