Cango Gains as Jones Trading Starts Coverage With Buy Rating

Cango shares rose more than 20% in Monday trading after Jones Trading began coverage with a Buy rating and a $4 price target. As of 16:23 UTC, the stock traded at $2.27, up 19.06% from the previous close.

Analyst Kevin Dede pointed to Cango’s shift toward artificial intelligence and high-performance computing infrastructure as a potential long-term growth driver. The company has also partnered with Bitmain to support AI-driven computing needs.

Cango previously operated an automotive financing business focused on lower-tier cities in China. It has since shifted capital and operations toward digital asset infrastructure, according to the report.

Dede noted that Cango has reduced its active Bitcoin mining deployment to 27.6 exahashes per second, from a peak of 50. The company took older, less efficient machines offline or put them on standby to protect margins as network economics changed.