StoneX sees 97% upside for Bullish as $4.2 billion Equiniti deal opens tokenization market

What happened

StoneX Financial initiated coverage of Bullish with a Buy rating and a $42 price target, implying roughly 97% upside from shares trading above $22. It says Bullish could become a route for tokenized shares if its $4.2 billion Equiniti acquisition closes; the deal includes assumed debt and Bullish shares.

Confirmed

Global impact / market context

If completed, the acquisition would give Bullish a transfer agency business, which keeps official records of share ownership. That could let Bullish earn revenue when shares move onto digital systems, but the $1.85 billion of assumed debt creates repayment costs and issuing shares could reduce existing owners’ percentage stakes.

Analyst inference

StoneX’s optimistic target contrasts with Bullish shares being down nearly 50% over six months, despite a reported 2.9% daily gain. The article says tokenized equities total about $2.1 billion onchain, but provides no evidence that adoption will grow quickly enough to support the analyst’s outlook.

Analyst inference

What to watch

1. Watch whether the Equiniti acquisition closes; StoneX says it would give Bullish a transfer agency business serving nearly 3,000 issuers, 15,000 corporate clients, and 20 million shareholders. Analyst inference
2. Track Bullish’s disclosures about financing and integration, including how it handles the $1.85 billion in assumed debt and the roughly $2.35 billion share payment. Analyst inference
3. Look for signs that tokenized shares bring Bullish business and revenue; the analyst’s “toll booth” case depends on companies and investors using this system. Analyst inference

Evidence

• theblock.co