Hut 8 (HUT) Soars 16.65% as Economy Fears Subside

Hut 8 Corp. (NASDAQ:HUT) is one of the 10 Stocks That Would Have Boosted Your Portfolios by Double Digits.

Hut 8 grew its share prices for a 6th consecutive day on Wednesday, soaring 16.65 percent to close at $61.43 apiece, as investor sentiment was fueled by the easing tensions in the Middle East that allayed fears for worst-case scenarios for the global economy.

This followed the US and Iran’s announcement on Tuesday that they have agreed to a two-week ceasefire, paving the way for the reopening of the Strait of Hormuz, whose closure sent crude oil prices soaring globally over the past few weeks.

Hut 8’s Vega Data Center. Photo from Hut 8 Corp

Meanwhile, Hut 8 Corp.’s (NASDAQ:HUT) rally was supported by investor optimism for companies tied to the US government’s priority industries, such as AI, rare earths, and semiconductors, among others.

For its part, Hut 8 Corp. (NASDAQ:HUT) is underway with the development of a $10 billion data center called River Bend with a designed 245 MW of power capacity.

Late last month, the company earned bullish coverage from Arete Research, issuing a “buy” recommendation and a $136 price target for the stock on optimism that Hut 8 Corp. (NASDAQ:HUT) would largely benefit from River Bend.

In December last year, Hut 8 Corp. (NASDAQ:HUT) inked a 15-year leasing deal with Google, which has the potential to generate up to $17.7 billion in revenues if and when the latter exercises all its renewal options.

The base term covers 245 MW of IT capacity for Fluidstack, for $7.7 billion. It also gives the latter the right of first offer for 1,000 MW of capacity in the campus’s future expansion.

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