Baird Financial Group Inc. Makes New Investment in Hut 8 Corp. $HUT

Key Points

• Baird Financial Group Inc. acquired a new stake in Hut 8 Corp., purchasing 31,000 shares valued at approximately $360,000 during the first quarter.
• Analysts have positive outlooks, with several raising price targets; Maxim Group increased its target from $23 to $30, maintaining a "buy" rating for the stock.
• Hut 8 reported a quarterly earnings per share of ($0.14), surpassing the consensus estimate of ($0.15), while the company generated revenue of $41.72 million.

Baird Financial Group Inc. acquired a new position in shares of Hut 8 Corp. (NASDAQ:HUT - Free Report) in the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 31,000 shares of the company's stock, valued at approximately $360,000.

Other large investors also recently modified their holdings of the company. State of Wyoming acquired a new stake in Hut 8 in the first quarter worth $32,000. US Bancorp DE grew its holdings in Hut 8 by 3,961.7% in the first quarter. US Bancorp DE now owns 3,290 shares of the company's stock worth $38,000 after purchasing an additional 3,209 shares during the period. Quantbot Technologies LP acquired a new stake in Hut 8 in the first quarter worth $95,000. SBI Securities Co. Ltd. grew its holdings in Hut 8 by 51.7% in the first quarter. SBI Securities Co. Ltd. now owns 9,468 shares of the company's stock worth $110,000 after purchasing an additional 3,228 shares during the period. Finally, Victory Capital Management Inc. grew its holdings in Hut 8 by 7.9% in the first quarter. Victory Capital Management Inc. now owns 11,127 shares of the company's stock worth $129,000 after purchasing an additional 819 shares during the period. 31.75% of the stock is currently owned by institutional investors and hedge funds.

Hut 8 Stock Performance

Shares of NASDAQ HUT traded up $2.76 during mid-day trading on Wednesday, reaching $37.79. 9,509,053 shares of the company's stock traded hands, compared to its average volume of 5,365,575. The business has a 50-day simple moving average of $24.12 and a 200 day simple moving average of $18.04. Hut 8 Corp. has a 1-year low of $10.04 and a 1-year high of $38.36. The company has a quick ratio of 1.81, a current ratio of 1.81 and a debt-to-equity ratio of 0.19.

Hut 8 (NASDAQ:HUT - Get Free Report) last released its quarterly earnings results on Thursday, August 7th. The company reported ($0.14) earnings per share for the quarter, beating analysts' consensus estimates of ($0.15) by $0.01. Hut 8 had a net margin of 112.81% and a return on equity of 8.73%. The company had revenue of $41.72 million for the quarter, compared to analyst estimates of $49.10 million. As a group, sell-side analysts anticipate that Hut 8 Corp. will post -0.53 EPS for the current fiscal year.

Insider Transactions at Hut 8

In related news, CFO Sean Joseph Glennan sold 6,060 shares of the firm's stock in a transaction dated Monday, August 25th. The shares were sold at an average price of $22.09, for a total transaction of $133,865.40. Following the transaction, the chief financial officer directly owned 6,295 shares of the company's stock, valued at $139,056.55. This trade represents a 49.05% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Joseph Flinn sold 11,069 shares of the firm's stock in a transaction dated Monday, June 23rd. The shares were sold at an average price of $15.77, for a total transaction of $174,558.13. Following the transaction, the director directly owned 19,791 shares in the company, valued at $312,104.07. The trade was a 35.87% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 27,129 shares of company stock worth $574,044 over the last three months. 11.20% of the stock is owned by insiders.

Analysts Set New Price Targets

A number of research firms have commented on HUT. Roth Capital restated a "buy" rating and issued a $60.00 price target (up from $31.00) on shares of Hut 8 in a report on Monday. Rosenblatt Securities reduced their price objective on shares of Hut 8 from $24.00 to $23.00 and set a "buy" rating for the company in a report on Monday, August 11th. Citizens Jmp upgraded shares of Hut 8 to a "strong-buy" rating and set a $25.00 price objective for the company in a report on Thursday, May 22nd. Maxim Group lifted their price objective on shares of Hut 8 from $23.00 to $30.00 and gave the company a "buy" rating in a report on Monday, August 11th. Finally, JMP Securities began coverage on shares of Hut 8 in a report on Thursday, May 22nd. They set a "market outperform" rating and a $25.00 price objective for the company. Three research analysts have rated the stock with a Strong Buy rating and sixteen have issued a Buy rating to the company's stock. According to data from MarketBeat, the stock has a consensus rating of "Buy" and a consensus price target of $29.88.

About Hut 8

Hut 8 Corp., together with its subsidiaries, acquires, builds, manages, and operates data centers for digital assets mining, computing, and artificial intelligence in the United States. It operates in four segments: Digital Assets Mining, Managed Services, High Performance Computing Colocation and Cloud, and Other.