Back to top

Image: Bigstock

Hut 8 Mining (HUT) Gains But Lags Market: What You Should Know

Read MoreHide Full Article

Hut 8 Mining (HUT - Free Report) closed at $5.74 in the latest trading session, marking a +0.53% move from the prior day. This move lagged the S&P 500's daily gain of 2.24%. Elsewhere, the Dow gained 2.51%, while the tech-heavy Nasdaq lost 0.2%.

Heading into today, shares of the crypto currency mining company had gained 11.52% over the past month, outpacing the Business Services sector's loss of 3.35% and the S&P 500's loss of 2.58% in that time.

Hut 8 Mining will be looking to display strength as it nears its next earnings release. In that report, analysts expect Hut 8 Mining to post earnings of $0.16 per share. This would mark year-over-year growth of 77.78%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $43.16 million, up 332.9% from the year-ago period.

Investors should also note any recent changes to analyst estimates for Hut 8 Mining. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 15.57% lower. Hut 8 Mining currently has a Zacks Rank of #4 (Sell).

Looking at its valuation, Hut 8 Mining is holding a Forward P/E ratio of 8.1. This represents a discount compared to its industry's average Forward P/E of 22.47.

The Technology Services industry is part of the Business Services sector. This group has a Zacks Industry Rank of 169, putting it in the bottom 34% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


In-Depth Zacks Research for the Tickers Above


Normally $25 each - click below to receive one report FREE:


Hut 8 Mining Corp. (HUT) - free report >>

Published in