Hut 8 (HUT) Sets New Record High on Price Target, Rating Upgrade

We recently published All-Time Rush: 8 of 10 Big Names Hit Fresh Record Highs. Hut 8 Corp. (NASDAQ:HUT) is one of the best performers on Tuesday.

Shares of Hut 8 Corp. (NASDAQ:HUT) rallied to a fresh record high on Wednesday as investors took path from an investment firm’s price target upgrade and positive rating for its stock.

Earlier this week, the company earned a 93-percent price target upgrade from Roth Capital, at $60 versus the $31 previously. It also maintained a “buy” recommendation for its stock.

In Wednesday’s intra-day trading, Hut 8 Corp. (NASDAQ:HUT) soared to its highest price of $38.35 before paring gains to end the day just up by 7.88 percent at $37.79 apiece.

According to Roth, the upgrade was based on optimism for its high-performance computing (HPC) and AI infrastructure, as well as its affiliate, American Bitcoin’s progress towards hitting an operating hash rate of 25 EH/s.

Roth Capital said the new business structure was “one of the more well thought of” in the sector, enabling American Bitcoin to pursue its own crypto strategy while Hut 8 Corp. (NASDAQ:HUT) focuses on providing power and managed services.

Roth Capital believed that any announcement of a signed lease agreement for one of its campuses would bolster stock ratings in the future.

While we acknowledge the potential of HUT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.