Hut 8 (HUT) Soars 17% as Funds Flock to HPC

We recently published 10 Stocks Beating Wall Street’s Bets. Hut 8 Corp. (NASDAQ:HUT) is one of the best performers on Friday.

Hut 8 rallied for a second day on Friday, surging 17.27 percent to finish at $47.66 apiece as investors poured funds into high-performance computing (HPC) firms, boosted by Oracle Corp.’s massive $38 billion data center expansion.

Hut 8 Corp. (NASDAQ:HUT) rallied alongside its counterparts, namely IREN Ltd. and Cipher Mining Inc., as Oracle’s announcement strengthened investor optimism that infrastructure demand for the next-generation AI continues to be sustainable.

In other news, Hut 8 Corp. (NASDAQ:HUT) recently earned a 124 percent price target increase from Piper Sandler to $74 versus $33 previously, on optimism for its ongoing development of 1.5 GW of power across four sites in the US.

Piper Sandler noted that the share price has yet to reflect Hut 8 Corp.’s (NASDAQ:HUT) exclusive rights to build another 1.3 GW, suggesting further upside potential for the stock.

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.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

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