Hut 8 (NASDAQ:HUT) Shares Down 5.4% – Here’s What Happened

Hut 8 Corp. (NASDAQ:HUT)’s share price dropped 5.4% during mid-day trading on Friday. The stock traded as low as $98.40 and last traded at $96.0550. Approximately 384,749 shares changed hands during mid-day trading, a decline of 92% from the average daily volume of 4,795,767 shares. The stock had previously closed at $101.54.

Wall Street Analyst Weigh In

A number of research firms have recently weighed in on HUT. Rothschild & Co Redburn started coverage on Hut 8 in a research note on Monday. They issued a “neutral” rating and a $96.00 price objective for the company. Rosenblatt Securities reissued a “buy” rating and issued a $124.00 price target on shares of Hut 8 in a research report on Wednesday, August 5th. Wall Street Zen lowered shares of Hut 8 from a “sell” rating to a “strong sell” rating in a research report on Saturday, August 1st. Compass Point set a $195.00 price target on Hut 8 in a research report on Wednesday, July 22nd. Finally, B. Riley Financial boosted their price target on shares of Hut 8 from $130.00 to $163.00 and gave the stock a “buy” rating in a report on Monday, August 3rd. Three research analysts have rated the stock with a Strong Buy rating, nineteen have assigned a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Buy” and a consensus target price of $143.95.

Hut 8 Trading Down 2.7%

The company has a quick ratio of 19.35, a current ratio of 19.35 and a debt-to-equity ratio of 4.22. The company has a market cap of $12.17 billion, a price-to-earnings ratio of -18.09 and a beta of 4.51. The business’s fifty day simple moving average is $93.46 and its two-hundred day simple moving average is $90.56.

Hut 8 (NASDAQ:HUT) last announced its earnings results on Wednesday, August 5th. The company reported ($1.27) earnings per share for the quarter, missing the consensus estimate of ($0.55) by ($0.72). Hut 8 had a negative return on equity of 0.97% and a negative net margin of 188.59%.The business had revenue of $74.93 million for the quarter, compared to analyst estimates of $79.37 million. During the same quarter last year, the company posted $1.18 EPS. On average, equities analysts predict that Hut 8 Corp. will post -2.85 EPS for the current year.

Insider Transactions at Hut 8

In related news, CFO Sean Glennan sold 6,445 shares of the firm’s stock in a transaction that occurred on Monday, August 24th. The shares were sold at an average price of $78.76, for a total value of $507,608.20. Following the sale, the chief financial officer directly owned 17,978 shares of the company’s stock, valued at approximately $1,415,947.28. This trade represents a 26.39% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders own 10.40% of the company’s stock.

Hedge Funds Weigh In On Hut 8

Hedge funds have recently made changes to their positions in the business. BlackRock Inc. purchased a new position in Hut 8 in the second quarter valued at about $1,093,294,000. Avala Global LP acquired a new position in Hut 8 in the 2nd quarter worth $144,602,000. Sachem Head Capital Management LP purchased a new position in Hut 8 in the fourth quarter valued at about $129,780,000. Geode Capital Management LLC raised its stake in shares of Hut 8 by 3.2% in the 4th quarter. Geode Capital Management LLC now owns 2,593,916 shares of the company’s stock valued at $119,181,000 after purchasing an additional 79,591 shares in the last quarter. Finally, Oasis Management Co Ltd. increased its holdings in shares of Hut 8 by 231.5% in the 4th quarter. Oasis Management Co Ltd. now owns 2,307,683 shares of the company’s stock valued at $106,015,000 after acquiring an additional 1,611,653 shares during the last quarter. Hedge funds and other institutional investors own 31.75% of the company’s stock.

About Hut 8

Hut 8 Corp. (NASDAQ:HUT) is a North American energy infrastructure and digital asset mining company. The company develops and operates data centers, power-generation resources and other infrastructure that support energy-intensive computing applications, including Bitcoin mining.

Hut 8 also provides services related to digital asset mining and data center operations, while pursuing opportunities in high-performance computing and artificial intelligence infrastructure. Its business is supported by a portfolio of power and data center sites in the United States and Canada.

The company was formed through the combination of Canadian Bitcoin miner Hut 8 Mining Corp.