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

Hut 8 Corp. (NASDAQ:HUT) shares gapped up prior to trading on Monday . The stock had previously closed at $50.66, but opened at $54.00. Hut 8 shares last traded at $51.8120, with a volume of 3,632,118 shares.

Wall Street Analyst Weigh In

Several research firms have recently commented on HUT. Northland Securities set a $26.00 price objective on Hut 8 in a report on Friday, July 11th. BTIG Research lifted their price objective on Hut 8 from $33.00 to $55.00 and gave the stock a “buy” rating in a report on Tuesday, October 14th. Rosenblatt Securities boosted their price target on Hut 8 from $30.00 to $65.00 and gave the company a “buy” rating in a report on Thursday, October 16th. Citigroup restated an “outperform” rating on shares of Hut 8 in a report on Tuesday, October 21st. Finally, Roth Capital restated a “buy” rating and set a $60.00 price target (up previously from $31.00) on shares of Hut 8 in a report on Monday, September 15th. Two analysts have rated the stock with a Strong Buy rating, sixteen have given a Buy rating and one has issued a Hold rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of “Buy” and a consensus price target of $42.50.

Hut 8 Stock Performance

The company has a 50-day simple moving average of $38.00 and a two-hundred day simple moving average of $25.07. The company has a debt-to-equity ratio of 0.19, a quick ratio of 1.81 and a current ratio of 1.81. The firm has a market capitalization of $5.50 billion, a P/E ratio of -94.55 and a beta of 4.40.

Hut 8 (NASDAQ:HUT) last posted its quarterly earnings data on Thursday, August 7th. The company reported ($0.14) earnings per share for the quarter, beating the consensus estimate of ($0.15) by $0.01. The business had revenue of $41.72 million for the quarter, compared to analysts’ expectations of $49.10 million. Hut 8 had a return on equity of 8.73% and a net margin of 112.81%. As a group, equities analysts forecast that Hut 8 Corp. will post -0.53 EPS for the current year.

Insider Activity at Hut 8

In other news, Director Joseph Flinn sold 8,500 shares of the business’s stock in a transaction that occurred 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 $259,951.05. The trade was a 46.47% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, CFO Sean Joseph Glennan sold 6,060 shares of the business’s stock in a transaction that occurred 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 completion of the sale, the chief financial officer directly owned 6,295 shares in the company, valued at approximately $139,056.55. This represents a 49.05% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 16,060 shares of company stock worth $399,485. Insiders own 11.20% of the company’s stock.

Institutional Trading of Hut 8

Hedge funds have recently made changes to their positions in the stock. Teacher Retirement System of Texas bought a new stake in shares of Hut 8 in the 1st quarter worth approximately $143,000. Baird Financial Group Inc. bought a new stake in shares of Hut 8 in the 1st quarter worth approximately $360,000. Nuveen LLC bought a new stake in shares of Hut 8 in the 1st quarter worth approximately $2,508,000. Banco Bilbao Vizcaya Argentaria S.A. boosted its position in shares of Hut 8 by 256.6% in the 1st quarter. Banco Bilbao Vizcaya Argentaria S.A. now owns 51,621 shares of the company’s stock worth $601,000 after purchasing an additional 37,147 shares in the last quarter. Finally, Massachusetts Financial Services Co. MA boosted its position in shares of Hut 8 by 181.2% in the 1st quarter. Massachusetts Financial Services Co. MA now owns 1,287,163 shares of the company’s stock worth $14,957,000 after purchasing an additional 829,484 shares in the last quarter. 31.75% of the stock is owned by 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.