Crypto-Focused Bank Silvergate Rallies After JPMorgan Sees Industry Adoption Growth

Silvergate Capital Corp. shares jumped as high as 13% Thursday after JPMorgan initiated research coverage with an overweight recommendation and a $300 price target.

The price target would represent a 59% increase over yesterday’s closing price of $188.73. In recent trading, the shares were at $210, up about 11%.“Silvergate’s status as the pure-play bank of the crypto ecosystem, has led to the creation of a bank not only with superior growth potential, but also that operates with one of the highest quality balance sheets in the industry,” JPMorgan analyst Steven Alexopoulos said in a note to clients.JPMorgan sees Silvergate as a way for investors to gain exposure to crypto adoption and disruption.

Read more: Silvergate Capital 3Q EPS Beats Estimates; Digital Currency Deposits Grew to $11.2B

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