Hut 8 (HUT) Soars 37.3% on AI Boost

Hut 8 Corp. (NASDAQ:HUT) is one of the 10 Stocks Powering Portfolios by Double Digits.

Hut 8 soared by 37.3 percent week-on-week as investors loaded portfolios in technology stocks amid renewed optimism for the artificial intelligence sector, helped by the easing tensions in the Middle East.

Hut 8 Corp. (NASDAQ:HUT) rallied alongside its counterparts, as investors poured funds into companies tied to the US government’s priority industries, such as AI, rare earths, and semiconductors, among others.

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

Hut 8 Corp. (NASDAQ:HUT) is currently 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 its River Bend facility.

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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