Hut 8 (NASDAQ:HUT) Shares Gap Up – Here’s What Happened

Hut 8 Corp. (NASDAQ:HUT) shares gapped up prior to trading on Wednesday. The stock had previously closed at $67.34, but opened at $70.00. Hut 8 shares last traded at $66.2580, with a volume of 642,192 shares trading hands.

Analyst Upgrades and Downgrades

A number of equities analysts recently issued reports on HUT shares. B. Riley Financial boosted their target price on shares of Hut 8 from $130.00 to $163.00 and gave the stock a “buy” rating in a research report on Monday, August 3rd. Freedom Broker upgraded shares of Hut 8 to a “strong-buy” rating in a research note on Tuesday, August 18th. Rosenblatt Securities reissued a “buy” rating and issued a $124.00 price target on shares of Hut 8 in a report on Wednesday, August 5th. Freedom Capital upgraded shares of Hut 8 to a “strong-buy” rating in a research report on Tuesday, August 18th. Finally, Roth Capital initiated coverage on shares of Hut 8 in a report on Wednesday, October 7th. They set a “buy” rating and a $108.00 price objective on the stock. Four equities research analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company has a consensus rating of “Buy” and an average price target of $148.09.

Hut 8 Stock Down 4.3%

The firm has a fifty day simple moving average of $84.56 and a 200 day simple moving average of $82.34. The company has a quick ratio of 19.35, a current ratio of 19.35 and a debt-to-equity ratio of 4.22.

Hut 8 (NASDAQ:HUT) last announced its quarterly earnings data 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). The firm had revenue of $74.93 million for the quarter, compared to analyst estimates of $79.37 million. Hut 8 had a negative return on equity of 0.97% and a negative net margin of 188.59%. During the same period in the previous year, the business posted $1.18 EPS. As a group, analysts expect that Hut 8 Corp. will post -2.93 earnings per share for the current fiscal year.

Insider Buying and Selling at Hut 8

In related news, Director Mayo Shattuck, III sold 20,000 shares of the firm’s stock in a transaction on Thursday, September 24th. The stock was sold at an average price of $100.00, for a total value of $2,000,000.00. Following the completion of the transaction, the director directly owned 89,408 shares of the company’s stock, valued at $8,940,800. This trade represents a 18.28% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, CFO Sean Glennan sold 6,445 shares of Hut 8 stock in a transaction on Monday, August 24th. The stock was sold at an average price of $78.76, for a total transaction of $507,608.20. Following the sale, the chief financial officer owned 17,978 shares in the company, valued at $1,415,947.28. This represents a 26.39% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. 10.40% of the stock is owned by company insiders.

Hedge Funds Weigh In On Hut 8

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. BlackRock Inc. bought a new position in shares of Hut 8 during the second quarter valued at $1,093,294,000. Avala Global LP bought a new stake in shares of Hut 8 in the 2nd quarter worth about $144,602,000. Wellington Management Group LLP bought a new stake in shares of Hut 8 in the 2nd quarter worth about $97,949,000. Montanova Capital LLC acquired a new stake in shares of Hut 8 during the 2nd quarter worth about $77,348,000. Finally, Connor Clark & Lunn Investment Management Ltd. acquired a new stake in shares of Hut 8 during the 2nd quarter worth about $56,364,000. 31.75% of the stock is owned by institutional investors.

About Hut 8

Hut 8 Corp. is a North American energy infrastructure and computing company whose business includes digital asset mining, high-performance computing and data center operations. The company develops and manages power and infrastructure assets intended to support energy-intensive computing applications.

Hut 8’s activities have historically centered on Bitcoin mining, supported by company-operated data centers and specialized mining equipment. It also provides infrastructure for emerging computing applications, including artificial intelligence and other high-performance computing workloads, as it seeks to expand beyond cryptocurrency mining.

The company was established in Canada and expanded its operations in the United States through its combination with U.S.