Hut 8 owns more than 9,100 bitcoin giving it a large amount of capital for future projects, the report said.
Craig-Hallum upgraded the stock to buy from hold with an unchanged $12 price target.
The broker said the company’s pipeline includes bitcoin mining as well as HPC and AI opportunities.
Bitcoin miner Hut 8’s (HUT) stack of more than 9,100 coins gives it substantial capital to pursue upcoming projects, broker Craig-Hallum said in a research report upgrading the stock to buy. The company’s bitcoin stash is worth about 75% of its current market cap and “represents both a protective feature for investors and very opportunistic capital for the business to use for growth,” said the analyst team led by George Sutton.
The broker raised its Hut 8 rating from hold to buy while maintaining its $12 price target. The shares closed over 13% higher at $8.83 on Wednesday following earnings, with a big jump in the price of bitcoin (BTC) also providing a tailwind. Shares are higher by 2% in early action on Thursday.
“Over the past 18 months, we have maintained a cautious view of HUT, considering its challenges with mining operations, contracts, strategy and management,” Sutton and team wrote, adding that with these issues being addressed the “potential for growth and stock appreciation far outweighs the risks.”
“We are particularly optimistic about the company’s strategic partnerships with key energy providers and its progress in the regulatory inquiry process, which we believe will further enhance its potential,” they added.
The company’s pipeline includes not just bitcoin mining opportunities, but also high performance computing (HPC) and artificial intelligence (AI) chances, the report said, noting HUT is joining the AI services market later this year with annual revenue of this contract expected to be $20 million.
The Validus assets, four natural gas power plants in Ontario that were acquired by the previous management team, will prove to be a further source of cash, the broker added. The company reported first-quarter earnings yesterday and said net income was $250.9 million versus $17.3 million one year earlier.
Read more: Bitcoin Miner Hut 8 Has Larger, More Diversified Business Model Following USBTC Merger: Canaccord
clomid price in usa how to get generic clomid tablets buy clomiphene cost generic clomiphene without a prescription clomid for sale uk cheap clomiphene without a prescription can i get cheap clomid tablets
Thanks on putting this up. It’s well done.
This is the kind of delivery I find helpful.
cost azithromycin 250mg – order tinidazole 300mg pills metronidazole where to buy
where can i buy semaglutide – order cyproheptadine pill cyproheptadine us
domperidone 10mg for sale – order motilium sale purchase cyclobenzaprine pills
purchase augmentin without prescription – https://atbioinfo.com/ acillin cost
nexium capsules – nexium to us purchase esomeprazole for sale
coumadin over the counter – coumamide order hyzaar online cheap
order mobic generic – https://moboxsin.com/ order mobic 15mg online
prednisone 5mg price – https://apreplson.com/ deltasone 10mg generic
buy ed pills best price – fastedtotake sexual dysfunction
brand amoxil – combamoxi cheap amoxicillin sale
fluconazole 100mg pills – https://gpdifluca.com/ generic fluconazole 100mg
cenforce 50mg usa – https://cenforcers.com/ order cenforce online cheap