Hut 8 (NASDAQ:HUT) Shares Gap Up – Should You Buy?

Shares of Hut 8 Corp. (NASDAQ:HUT) gapped up prior to trading on Monday . The stock had previously closed at $97.14, but opened at $103.48. Hut 8 shares last traded at $107.09, with a volume of 994,110 shares trading hands.

Analysts Set New Price Targets

HUT has been the subject of a number of research reports. Compass Point set a $130.00 target price on shares of Hut 8 in a report on Wednesday, May 13th. Weiss Ratings downgraded shares of Hut 8 from a “sell (d+)” rating to a “sell (d-)” rating in a research note on Thursday, May 7th. Rosenblatt Securities restated a “buy” rating and set a $124.00 price target on shares of Hut 8 in a research report on Thursday, June 11th. Canaccord Genuity Group upped their price objective on shares of Hut 8 from $70.00 to $130.00 and gave the company a “buy” rating in a research note on Thursday, May 7th. Finally, Citizens Jmp increased their price objective on shares of Hut 8 from $100.00 to $140.00 and gave the company a “market outperform” rating in a report on Thursday, May 7th. Seventeen analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company. According to MarketBeat.com, Hut 8 has an average rating of “Moderate Buy” and an average target price of $115.79.

Hut 8 Price Performance

The company has a debt-to-equity ratio of 0.12, a quick ratio of 0.86 and a current ratio of 0.86. The stock’s 50-day moving average is $108.04 and its two-hundred day moving average is $73.60. The stock has a market cap of $12.06 billion, a PE ratio of -35.71 and a beta of 4.62.

Hut 8 (NASDAQ:HUT) last announced its earnings results on Wednesday, May 6th. The company reported ($1.98) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.33) by ($1.65). Hut 8 had a negative net margin of 109.77% and a negative return on equity of 0.35%. The firm had revenue of $139.31 million during the quarter, compared to analysts’ expectations of $78.53 million. On average, equities analysts predict that Hut 8 Corp. will post -1.29 earnings per share for the current year.

Insider Transactions at Hut 8

In related news, Director Joseph Flinn sold 7,719 shares of the firm’s stock in a transaction dated Friday, June 12th. The stock was sold at an average price of $117.91, for a total transaction 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. This trade represents a 42.32% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Rick Rickertsen sold 17,491 shares of Hut 8 stock in a transaction dated Wednesday, May 13th. The shares were sold at an average price of $110.00, for a total value of $1,924,010.00. Following the completion of the transaction, the director directly owned 17,491 shares of the company’s stock, valued at approximately $1,924,010. This represents a 50.00% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 112,724 shares of company stock worth $12,184,340 over the last quarter. 10.40% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Northwestern Mutual Wealth Management Co. boosted its position in Hut 8 by 4,669,387.4% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 4,062,454 shares of the company’s stock valued at $186,629,000 after buying an additional 4,062,367 shares during the period. Handelsbanken Fonder AB acquired a new stake in shares of Hut 8 in the fourth quarter valued at $1,153,000. GeoSphere Capital Management LLC raised its stake in shares of Hut 8 by 64.3% in the fourth quarter. GeoSphere Capital Management LLC now owns 115,000 shares of the company’s stock valued at $5,283,000 after acquiring an additional 45,000 shares in the last quarter. Steadview Capital Management LLC boosted its holdings in Hut 8 by 1,425.3% in the fourth quarter. Steadview Capital Management LLC now owns 431,655 shares of the company’s stock valued at $19,830,000 after purchasing an additional 403,355 shares during the period. Finally, WINTON GROUP Ltd purchased a new position in Hut 8 in the third quarter valued at $1,385,000. Hedge funds and other institutional investors own 31.75% of the company’s stock.

Hut 8 Company Profile

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.