Hut 8 (NASDAQ:HUT) Shares Up 22.8% - Time to Buy?

Key Points

• Hut 8 shares surged 22.8% to $108.27, with trading volume 14% above its daily average. The stock has a beta of 4.62, reflecting significant volatility.
• Analyst sentiment remains favorable: 18 analysts rate the stock Buy and one rates it Sell, producing a “Moderate Buy” consensus and average price target of $137.20.
• Despite revenue exceeding estimates, Hut 8 reported a substantially worse-than-expected quarterly loss of $1.98 per share versus the $0.33 consensus estimate. Insiders have also sold 112,724 shares worth about $12.2 million over the past three months.

Hut 8 Corp. (NASDAQ:HUT - Get Free Report) shares were up 22.8% during trading on Thursday . The company traded as high as $108.73 and last traded at $108.27. 5,480,548 shares were traded during mid-day trading, an increase of 14% from the average daily volume of 4,819,117 shares. The stock had previously closed at $88.18.

Analyst Upgrades and Downgrades

HUT has been the topic of a number of research analyst reports. B. Riley Financial upped their target price on shares of Hut 8 from $76.00 to $130.00 and gave the company a "buy" rating in a report on Wednesday, May 13th. Citigroup reiterated an "outperform" rating on shares of Hut 8 in a report on Tuesday, April 28th. Northland Securities set a $120.00 price target on Hut 8 in a research report on Thursday, May 7th. Jefferies Financial Group initiated coverage on Hut 8 in a research note on Thursday, May 14th. They issued a "buy" rating and a $156.00 price objective on the stock. Finally, Rosenblatt Securities reiterated a "buy" rating and set a $124.00 target price on shares of Hut 8 in a research note on Tuesday, July 21st. Eighteen research analysts have rated the stock with a Buy rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, Hut 8 currently has a consensus rating of "Moderate Buy" and an average price target of $137.20.

Hut 8 Price Performance

The company's 50-day moving average price is $111.75 and its two-hundred day moving average price is $80.30. The company has a debt-to-equity ratio of 0.12, a current ratio of 0.86 and a quick ratio of 0.86. The company has a market capitalization of $12.19 billion, a P/E ratio of -36.09 and a beta of 4.62.

Hut 8 (NASDAQ:HUT - Get Free Report) last announced its earnings results on Wednesday, May 6th. The company reported ($1.98) EPS for the quarter, missing the consensus estimate of ($0.33) by ($1.65). Hut 8 had a negative return on equity of 0.35% and a negative net margin of 109.77%.The company had revenue of $139.31 million for the quarter, compared to the consensus estimate of $78.53 million. As a group, sell-side analysts expect that Hut 8 Corp. will post -2.52 EPS for the current year.

Insider Activity at Hut 8

In other news, Director Amy Marie Wilkinson sold 20,000 shares of the business's stock in a transaction that occurred on Thursday, May 21st. The stock was sold at an average price of $100.78, for a total transaction of $2,015,600.00. Following the completion of the sale, the director owned 262,136 shares in the company, valued at $26,418,066.08. The trade was a 7.09% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Director Joseph Flinn sold 7,719 shares of the company's stock in a transaction that occurred on Friday, June 12th. The shares were sold at an average price of $117.91, for a total value of $910,147.29. Following the completion of the transaction, the director directly owned 10,519 shares in the company, valued at $1,240,295.29. The trade was a 42.32% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last three months, insiders have sold 112,724 shares of company stock valued at $12,184,340. 10.40% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. CoreCap Advisors LLC increased its position in Hut 8 by 42.1% during the 2nd quarter. CoreCap Advisors LLC now owns 540 shares of the company's stock worth $62,000 after buying an additional 160 shares during the period. Arlington Trust Co LLC boosted its position in shares of Hut 8 by 175.0% in the second quarter. Arlington Trust Co LLC now owns 275 shares of the company's stock valued at $32,000 after acquiring an additional 175 shares during the period. Nisa Investment Advisors LLC boosted its position in shares of Hut 8 by 1.6% in the fourth quarter. Nisa Investment Advisors LLC now owns 15,969 shares of the company's stock valued at $734,000 after acquiring an additional 254 shares during the period. GAMMA Investing LLC grew its stake in shares of Hut 8 by 35.0% in the second quarter. GAMMA Investing LLC now owns 1,057 shares of the company's stock valued at $122,000 after acquiring an additional 274 shares in the last quarter. Finally, CWM LLC grew its stake in shares of Hut 8 by 37.4% in the fourth quarter. CWM LLC now owns 1,106 shares of the company's stock valued at $51,000 after acquiring an additional 301 shares in the last quarter. 31.75% of the stock is owned by institutional investors and hedge funds.

About Hut 8

Hut 8 Corp., trading on the Nasdaq under the symbol HUT, is a North American digital infrastructure company specializing in cryptocurrency mining and high‐performance computing. Founded in 2017 and headquartered in Toronto, Canada, Hut 8 operates purpose‐built data centers that house fleets of specialized ASIC and GPU servers. Through its flagship mining facilities in Alberta and Ontario, the company leverages low‐cost, low‐carbon power sources—such as hydroelectric and natural gas—to support sustainable bitcoin production.

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