Hut 8 (NASDAQ:HUT) Posts Quarterly Earnings Results, Beats Estimates By $1.70 EPS

Hut 8 (NASDAQ:HUT) posted its earnings results on Wednesday. The company reported $0.98 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.72) by $1.70, FiscalAI reports. Hut 8 had a negative net margin of 169.76% and a negative return on equity of 9.99%. The company had revenue of $71.07 million during the quarter, compared to the consensus estimate of $75.78 million.

Here are the key takeaways from Hut 8’s conference call:

• Hut 8 said it has contracted 949 MW of AI data-center capacity under long-term leases, representing about $27 billion in contracted revenue. River Bend and Beacon Point Phase 1 remain on schedule and fully funded through non-recourse project financing; management said it does not expect to issue equity to fund those projects.
• The company’s power pipeline exceeds 6.4 GW, with about 1.3 GW moving into exclusivity during the quarter and projects spread across several regions. Hut 8 also agreed to acquire two West Texas sites with up to 230 MW of utility capacity, subject to approvals and development.
• Third-quarter Adjusted EBITDA rose to $33 million from $30.5 million a year earlier, despite lower revenue. Management cited increased Bitcoin production, growth in AI cloud revenue, and cost discipline, while noting that contracted data-center lease revenue has not yet begun.
• Revenue declined to $71.1 million from $83.5 million, while cash G&A increased to $34.8 million from $19.5 million a year earlier as the company expanded its organization. Reported net income of $189.5 million included a $413.8 million digital-asset remeasurement gain, highlighting the impact of Bitcoin price volatility on GAAP results.
• Hut 8 raised its share-repurchase authorization to $1 billion, but management said the increase is intended to preserve flexibility, not signal immediate buying, and that it does not plan to use its revolver for repurchases. The company said maintaining liquidity and pursuing potential growth opportunities are priorities.

Hut 8 Price Performance

Shares of Hut 8 stock traded up $4.20 on Friday, reaching $50.15. The company’s stock had a trading volume of 4,140,810 shares, compared to its average volume of 5,040,697. The company has a market capitalization of $6.18 billion, a P/E ratio of -10.20 and a beta of 4.53. Hut 8 has a 52-week low of $31.67 and a 52-week high of $140.80. The stock has a 50-day moving average price of $81.63 and a 200-day moving average price of $82.21. The company has a quick ratio of 19.35, a current ratio of 19.35 and a debt-to-equity ratio of 4.22.

Wall Street Analyst Weigh In

A number of equities analysts have weighed in on HUT shares. Keefe, Bruyette & Woods reduced their price objective on Hut 8 from $157.00 to $154.00 and set an “outperform” rating for the company in a research note on Thursday, August 6th. Canaccord Genuity Group restated a “buy” rating and issued a $130.00 target price on shares of Hut 8 in a research note on Wednesday, October 7th. Freedom Capital raised Hut 8 to a “strong-buy” rating in a report on Tuesday, August 18th. Benchmark lifted their price target on Hut 8 from $165.00 to $195.00 and gave the company a “buy” rating in a research report on Wednesday, July 22nd. Finally, Cantor Fitzgerald reduced their price target on Hut 8 from $151.00 to $127.00 and set an “overweight” rating for the company in a research report on Thursday. Four equities research analysts have rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the company presently has an average rating of “Buy” and an average target price of $141.59.

Insider Activity at Hut 8

In other news, CFO Sean Glennan sold 6,445 shares of the stock in a transaction that occurred 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 transaction, the chief financial officer owned 17,978 shares in the company, valued at $1,415,947.28. This trade represents a 26.39% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Mayo Shattuck, III sold 20,000 shares of Hut 8 stock in a transaction on Thursday, September 24th. The shares were sold at an average price of $100.00, for a total transaction of $2,000,000.00. Following the completion of the sale, the director directly owned 89,408 shares in the company, valued at $8,940,800. This represents a 18.28% decrease in their position. The SEC filing for this sale provides additional information. Corporate insiders own 10.40% of the company’s stock.

More Hut 8 News

Here are the key news stories impacting Hut 8 this week:

• Positive Sentiment: Management highlighted $27 billion in AI data-center leases, $7.5 billion in project financing and plans to bring 700 megawatts of power online at Beacon Point in Q1 2027. These commitments reinforce Hut 8’s push beyond Bitcoin mining into data-center infrastructure. HUT Q3 Earnings Call Focuses on AI Expansion and Project Financing
• Positive Sentiment: The company expanded its share-repurchase authorization to $1 billion, a potential source of shareholder support. Hut 8 expands buyback authorization
• Neutral Sentiment: Hut 8 sold 3,102 bitcoin to fund a $250 million share repurchase. Buybacks can support per-share value, but the sale also reduces the company’s Bitcoin holdings; one report said the market reacted negatively to the move. Hut 8 sold bitcoin to buy back stock
• Negative Sentiment: Hut 8’s Q3 results missed estimates, adding pressure despite its longer-term expansion plans. HUT Q3 earnings call and results
• Negative Sentiment: Cantor Fitzgerald, Wells Fargo and Needham cut their price targets to $127, $148 and $101, respectively. However, they retained positive ratings—overweight at Cantor and Wells Fargo, and buy at Needham—so the revisions temper, rather than eliminate, their optimism. Cantor Fitzgerald lowers Hut 8 price target

Hut 8 Company Profile

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.