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

Hut 8 Corp. (NASDAQ:HUT)’s stock price gapped up prior to trading on Thursday . The stock had previously closed at $37.54, but opened at $40.18. Hut 8 shares last traded at $40.4390, with a volume of 1,913,097 shares traded.

Analysts Set New Price Targets

A number of analysts have recently issued reports on the stock. Piper Sandler set a $74.00 price objective on shares of Hut 8 and gave the company an “overweight” rating in a research note on Monday, October 20th. Northland Securities set a $58.00 price objective on shares of Hut 8 in a report on Wednesday, November 5th. Wall Street Zen raised shares of Hut 8 from a “sell” rating to a “hold” rating in a research report on Saturday, November 8th. JMP Securities lifted their target price on Hut 8 from $25.00 to $65.00 and gave the stock a “market outperform” rating in a research report on Tuesday, October 21st. Finally, Benchmark increased their price target on Hut 8 from $36.00 to $78.00 and gave the company a “buy” rating in a report on Tuesday, October 28th. Two investment analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and one has issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, Hut 8 presently has a consensus rating of “Buy” and an average target price of $48.80.

Hut 8 Price Performance

The stock has a market capitalization of $3.71 billion, a price-to-earnings ratio of -88.05 and a beta of 4.40. The company has a debt-to-equity ratio of 0.14, a current ratio of 0.72 and a quick ratio of 0.72. The company has a 50-day simple moving average of $42.28 and a two-hundred day simple moving average of $27.95.

Hut 8 (NASDAQ:HUT) last posted its quarterly earnings data on Tuesday, November 4th. The company reported ($0.07) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.16) by $0.09. The business had revenue of $80.72 million during the quarter, compared to analysts’ expectations of $64.70 million. Hut 8 had a net margin of 115.39% and a return on equity of 8.06%. On average, equities research analysts predict that Hut 8 Corp. will post -0.53 earnings per share for the current year.

Insider Activity

In other Hut 8 news, CFO Sean Joseph Glennan sold 6,060 shares of the company’s stock in a transaction on Monday, August 25th. The stock was sold at an average price of $22.09, for a total value of $133,865.40. Following the transaction, the chief financial officer owned 6,295 shares of the company’s stock, valued at approximately $139,056.55. This represents a 49.05% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Joseph Flinn sold 8,500 shares of the firm’s stock in a transaction on Thursday, August 28th. The stock was sold at an average price of $26.55, for a total value of $225,675.00. Following the sale, the director directly owned 9,791 shares of the company’s stock, valued at approximately $259,951.05. This represents a 46.47% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 16,060 shares of company stock valued at $399,485. Insiders own 11.20% of the company’s stock.

Institutional Trading of Hut 8

Hedge funds have recently bought and sold shares of the company. CIBC Bancorp USA Inc. purchased a new position in shares of Hut 8 in the third quarter worth approximately $350,000. NewEdge Advisors LLC raised its stake in Hut 8 by 67.2% during the 3rd quarter. NewEdge Advisors LLC now owns 2,257 shares of the company’s stock valued at $79,000 after purchasing an additional 907 shares during the period. Central Asset Investments & Management Holdings HK Ltd purchased a new stake in shares of Hut 8 in the third quarter valued at $766,000. Caxton Associates LLP acquired a new stake in shares of Hut 8 in the third quarter worth $1,408,000. Finally, Worth Venture Partners LLC purchased a new position in shares of Hut 8 during the third quarter valued at $201,000. 31.75% of the stock is owned by hedge funds and other institutional investors.

Hut 8 Company Profile

Hut 8 Corp., together with its subsidiaries, acquires, builds, manages, and operates data centers for digital assets mining, computing, and artificial intelligence in the United States. It operates in four segments: Digital Assets Mining, Managed Services, High Performance Computing Colocation and Cloud, and Other.