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Investing.com - Canaccord Genuity raised its price target on Hut 8 Mining Corp. (NASDAQ:HUT) to $36.00 from $32.00 on Wednesday, while maintaining a Buy rating on the cryptocurrency mining company. The stock, currently trading at $21.98, has delivered an impressive 90% return over the past year. According to InvestingPro data, analyst targets range from $23 to $33, with a consensus Buy recommendation.
The firm cited Hut 8’s substantial bitcoin holdings as a key factor in the price target increase. According to Canaccord Genuity, the company has accumulated 10,667 bitcoin, valued at nearly $1.2 billion at current market prices. With a market capitalization of $2.33 billion and a healthy current ratio of 1.81, InvestingPro analysis shows the company maintains strong liquidity positions.
Canaccord views this significant bitcoin reserve as an attractive feature for potential large high-performance computing (HPC) hosting customers who seek partners with robust balance sheets.
The research firm noted that Hut 8’s strategy of holding bitcoin rather than converting it to cash could provide "potentially more upside value creation versus simple cash."
Hut 8 Mining, established as one of the cryptocurrency miners with the longest historical presence in the industry, continues to maintain its Buy rating from Canaccord Genuity despite the price target adjustment.
In other recent news, Hut 8 Mining Corp reported a 17% year-over-year revenue increase to $41.3 million in the second quarter of 2025, driven by gains in digital assets. The company also shifted from a net loss to a net income of $137.3 million, marking significant financial improvements. Rosenblatt, a research firm, responded to these mixed results by lowering its price target for Hut 8 Mining from $24.00 to $23.00, while maintaining a Buy rating. Despite the disappointing top-line performance, Hut 8 achieved substantial gross margin expansion, which helped offset revenue shortfalls. The company is transitioning to focus more on power and infrastructure, as highlighted during its earnings call. Hut 8’s strategic initiatives in Bitcoin mining and infrastructure expansion were emphasized as potential drivers for future growth. These developments reflect the company’s ongoing efforts to strengthen its financial position and operational capabilities.
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