Buy the Dip in Bitcoin Miner Hut 8 (HUT), Says Benchmark's Mark Palmer

Hut 8's recent stock decline was deemed unwarranted by Benchmark analyst Mark Palmer, following the company's earnings report that showcased record revenue and profitability. Investors reacted negatively to the lack of a deal announcement for an AI hyperscaler tenant at its River Bend site, causing shares to drop nearly 13%. Palmer argued that the selloff was short-sighted, maintaining a buy rating and a $78 price target based on Hut 8's energy and bitcoin assets. CEO Asher Genoot emphasized a disciplined approach to securing tenants and reaffirmed that the new 300 megawatt data center remains on track for late 2026. Palmer believes Hut 8 is setting itself up for long-term success, highlighting the need for execution to raise valuations. He notes that the company is well-positioned amid growing demand from hyperscalers and cloud providers, indicating that a deal is likely to materialize in the future.

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