Roth Capital Upgrades Hut 8 (NASDAQ:HUT) to “Strong-Buy”

Hut 8 (NASDAQ:HUT) was upgraded by analysts at Roth Capital to a “strong-buy” rating in a research note issued to investors on Wednesday, Zacks reports.

A number of other brokerages also recently issued reports on HUT. B. Riley Financial increased 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. Weiss Ratings lowered shares of Hut 8 from a “hold (c-)” rating to a “sell (d+)” rating in a report on Wednesday, August 19th. Benchmark lifted their price objective on Hut 8 from $165.00 to $195.00 and gave the company a “buy” rating in a research note on Wednesday, July 22nd. Needham & Company LLC decreased their target price on Hut 8 from $145.00 to $138.00 and set a “buy” rating on the stock in a research note on Wednesday, August 5th. Finally, Compass Point set a $195.00 price target on Hut 8 in a report on Wednesday, July 22nd. Four analysts have rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, Hut 8 currently has an average rating of “Buy” and an average price target of $145.23.

Hut 8 Stock Down 10.9%

HUT stock opened at $79.59 on Wednesday. The stock has a market cap of $9.81 billion, a P/E ratio of -14.60 and a beta of 4.62. The stock’s fifty day simple moving average is $90.54 and its two-hundred day simple moving average is $93.37. The company has a current ratio of 19.35, a quick ratio of 19.35 and a debt-to-equity ratio of 4.22. Hut 8 has a 1-year low of $31.67 and a 1-year high of $140.80.

Hut 8 (NASDAQ:HUT) last released its earnings results on Wednesday, August 5th. The company reported ($1.27) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates 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 firm had revenue of $74.93 million during the quarter, compared to analysts’ expectations of $79.37 million. During the same period in the prior year, the business earned $1.18 earnings per share. Analysts expect that Hut 8 will post -2.98 EPS for the current year.

Insiders Place Their Bets

In other Hut 8 news, CFO Sean Glennan sold 6,445 shares of Hut 8 stock in a transaction dated Monday, August 24th. The shares were sold at an average price of $78.76, for a total value of $507,608.20. Following the completion of the transaction, the chief financial officer directly owned 17,978 shares of the company’s stock, valued at approximately $1,415,947.28. The trade was a 26.39% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Mayo A. Shattuck III sold 20,000 shares of the business’s stock in a transaction that occurred on Thursday, September 24th. The stock was sold at an average price of $100.00, for a total transaction of $2,000,000.00. Following the completion of the transaction, the director owned 89,408 shares of the company’s stock, valued at approximately $8,940,800. The trade was a 18.28% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Corporate insiders own 10.40% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of the business. BlackRock Inc. purchased a new stake in shares of Hut 8 during the 2nd quarter valued at about $1,093,294,000. Sachem Head Capital Management LP bought a new position in Hut 8 during the fourth quarter valued at approximately $129,780,000. Oasis Management Co Ltd. boosted its holdings in Hut 8 by 231.5% in the fourth quarter. Oasis Management Co Ltd. now owns 2,307,683 shares of the company’s stock worth $106,015,000 after purchasing an additional 1,611,653 shares during the last quarter. Avala Global LP purchased a new stake in Hut 8 in the second quarter worth approximately $144,602,000. Finally, Wellington Management Group LLP bought a new stake in Hut 8 in the 2nd quarter worth approximately $97,949,000. 31.75% of the stock is owned by institutional investors.

About Hut 8

Hut 8 Corp. (NASDAQ: HUT) is a North American energy infrastructure and digital asset mining company. Its operations include cryptocurrency mining, with a primary focus on Bitcoin, as well as the development and management of data center infrastructure supported by its energy resources.

The company owns and operates mining and data center facilities in the United States and Canada. In addition to self-mining digital assets, Hut 8 has pursued opportunities in high-performance computing and artificial intelligence infrastructure, using its power capacity, data center sites and related development capabilities to support evolving computing demand.

Hut 8 was originally established as Hut 8 Mining Corp., a Canadian cryptocurrency mining company.