Rosenblatt raises Hut 8 Mining stock price target on HPC contract
Rosenblatt raised its price target for Hut 8 Mining Corp. (NASDAQ:HUT) to $124 from $89 and kept a Buy rating. It cited a second HPC contract announced for Q1 2026, with contracted revenues starting Q2 2027. Rosenblatt projects 15% higher 2027 revenue and 2028 adjusted EBITDA of $1B, implying a turnaround from negative EBITDA.
How this was made
The 30-second read
Why it matters
The key incremental information is the second HPC contract disclosure and the resulting analyst estimate changes (higher 2027 top-line forecast and a valuation anchored to 2028 adjusted EBITDA). This can drive re-rating and momentum, but near-term fundamentals may remain constrained until 2027 revenue begins.
Market read
A fresh analyst target increase anchored to a newly disclosed second HPC contract can influence trading and positioning, especially for investors focused on AI infrastructure monetization timelines.
What to watch
Client identity is not disclosed, contracted revenue timing starts in Q2 2027, and the model depends on continued power pipeline monetization and execution of the River Bend/Beacon Point scaling plans.
Background
Hut 8 Mining is positioning its power and data-center assets to monetize high-performance computing (HPC) demand via hyperscaler-linked contracts.
Ticker impact
Rosenblatt raised Hut 8 Mining’s price target to $124 after the company disclosed a second HPC contract, with revenues starting Q2 2027.
Moderately bullish bias for HUT as the market digests the second HPC contract and the updated 2027/2028 estimate framework.
The article’s actionable catalyst is the new contract disclosure plus the specific analyst model update (15% 2027 top-line increase, 2028 EBITDA-based valuation). However, the client is unnamed and contracted revenues begin in 2027, limiting immediacy.
Market effects
Reinforces the AI data-center/HPC infrastructure demand narrative and may support sentiment for other power-and-compute infrastructure plays.
No specific regional market linkage beyond US-listed equities sentiment.
Limited; the contract counterparty is described only as a top investment-grade hyperscaler, without named global counterpart details.
Counterpoint
Despite the target increase, the article flags potential overvaluation at current levels, and the revenue ramp is delayed to 2027.
Key entities
- companyHut 8 Mining Corp.
NASDAQ-listed AI/data-center infrastructure company; subject of the price-target raise tied to a second HPC contract disclosure.
- analyst_firmRosenblatt
Raised Hut 8 Mining’s price target to $124 and maintained a Buy rating based on updated contract-driven estimates.
