Keel Infrastructure (KEEL) has completed the sale of its 70 MW Paso Pe Bitcoin mining site in Paraguay, generating net proceeds of US$13 million and leaving the company with a fully North American asset base.

With the Paso Pe sale confirmed and a tighter focus on high performance computing and AI, Keel Infrastructure’s share price has recently shown a 68.72% 1 month share price return and a very large 1 year total shareholder return, even though the 5 year total shareholder return remains negative.

If this kind of move has your attention, it could be a useful moment to see what else is moving in AI infrastructure by checking out 38 AI infrastructure stocks

With Keel Infrastructure now fully focused on North American HPC and AI and the share price already showing a very large 1 year total return, the key question is whether the recent enthusiasm leaves value on the table or if the market is already pricing in future growth.

Most Popular Narrative: 31.7% Undervalued

With Keel Infrastructure last closing at $3.29 and the most followed narrative pointing to a fair value of $4.81, the gap between price and expectations is clear and rooted in specific project and earnings assumptions.

Secured access to 2.2 gigawatts of current and potential capacity in Pennsylvania, Washington State and Quebec in a market where energy is described as a structural bottleneck for AI infrastructure, which can support long term lease backed revenue as powered land is commercialized.

Want to see what kind of revenue profile that much power capacity could support? The narrative leans heavily on future margins, lease terms and a punchy earnings multiple. Curious which assumptions need to hold for that $4.81 fair value to stack up against today’s $3.29 price?

Result: Fair Value of $4.81 (UNDERVALUED)

However, this hinges on permits and customer onboarding arriving on schedule, and on power hungry AI tenants actually signing long duration leases at Keel’s key sites.

Another View on Valuation

The analyst led fair value of $4.81 suggests upside, but the current P/S of 8.7x paints a tougher picture. KEEL trades at more than double the US Software industry on 3.7x and peers on 3.8x, while the fair ratio of 0.5x points to clear valuation risk. Which signal do you trust more?

Next Steps

The mix of enthusiasm and concern in this story is hard to ignore. Check the key data points yourself and move quickly to shape your own view, starting with 2 important warning signs

Looking for more investment ideas?

If Keel Infrastructure has sharpened your focus, do not stop here. Broaden your watchlist with a few hand picked ideas that fit different goals.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.