Overview
- Hut 8 shares rose about 3.1% premarket after Benchmark’s Mark Palmer set an $85 target, the highest on Wall Street.
- The upgrade follows a $7 billion, 15-year lease with Fluidstack covering 245 MW of AI hosting at Hut 8’s River Bend campus in Louisiana.
- Benchmark values the initial 245 MW tranche at roughly $7.6 billion and estimates total potential value could reach about $17.7 billion through renewals and expansions.
- Analysts say the agreement advances Hut 8’s shift from crypto mining to institutional-grade digital infrastructure with more predictable revenue.
- The stock recently traded near $44.12 after a 102% year-to-date gain, while some caution that a 23.4x P/E looks rich versus a cited fair multiple near 7.9x and execution and regulatory risks persist.