Key Takeaways
- Quality scores 23/100: Hut 8 reports a -275.4% operating margin, -$7.7 billion of trailing free cash flow and debt-to-equity of 4.37, and Quality below 25 triggers the model’s automatic Sell.
- Growth scores 57/100 on 81.4% trailing revenue growth to $318 million, though the shares trade at 57.03 times that revenue.
- Opportunity scores 9/100, with no P/E, a -73.6% free cash flow yield and the $85.35 share price toward the upper end of its $11.19 to $124.83 two-year range.
Hut 8 has been repositioning from bitcoin mining toward energy infrastructure and AI data centers, and the numbers show both sides of that shift. Revenue grew 81.4% over the trailing twelve months to $318 million, but Yahoo Finance puts trailing free cash flow at -$7.7 billion, more than 24 times revenue. The company is spending on a scale far larger than its current business. This Hut 8 stock analysis, based on Yahoo Finance data as of October 13, 2026, starts with the risks, explains why the scoring model rates the stock a Sell, and notes what would have to go right for that to change.
What Is Happening With the Stock Price
Hut 8 trades at $85.35, giving it a market value of $10.52 billion. Its two-year range runs from a low of $11.19 to a high of $124.83, which puts the shares toward the upper end of that range: more than seven times the low, but about 32% below the high. Hut 8 was the biggest one-day gainer on the StreetBriefs watchlist in the latest session. Swings this wide show a stock priced on expectations for AI infrastructure demand and on bitcoin, and both can change quickly in either direction.
Quality: Is This a Financially Sound Business?
Quality scores 23/100, the weakest pillar after Opportunity. The gross margin is a healthy 62.3%, but costs below that line overwhelm it: the operating margin is -275.4% and the net margin -188.6%, for earnings per share of -$5.42. Return on equity is -43.4% and return on assets -9.7%.
The cash flow figure is the most important number in this Hut 8 stock analysis. Free cash flow subtracts capital spending from operating cash flow, so -$7.7 billion most likely reflects data center construction rather than day-to-day operating losses. Either way, that cash has to come from borrowing or from issuing shares, and debt-to-equity of 4.37 shows how much of it has been borrowed. The liquidity ratios also need a caveat: the current ratio of 19.35 looks very strong, but the quick ratio is only 0.67. A gap that wide suggests most current assets are not cash or receivables, possibly digital assets or funds set aside for projects, so the headline ratio overstates how much readily available cash the company has. A Quality score below 25 automatically triggers a Sell in the scoring model, whatever the other pillars show.
Growth: Does This Company Have Real Upside?
Growth scores 57/100. Trailing revenue growth of 81.4% is strong, and a 62.3% gross margin suggests the revenue that is coming in carries reasonable unit economics. The data has no five-year revenue growth rate, and earnings growth is N/A because the company is loss-making, so the growth record is short. The bigger question is valuation: at 57.03 times revenue, the market is pricing the data center projects Hut 8 is building, not the revenue it earns today. If those projects are delayed, cost more than planned, or lease at weaker terms, today’s growth rate would not justify that multiple.
Opportunity: Is Now a Good Time to Enter?
Opportunity scores 9/100. There is no P/E because earnings are negative, and EV/EBITDA of -22.98 is not meaningful for the same reason. The price-to-book ratio is 7.29, and the free cash flow yield is -73.6%, meaning cash outflows over the past year equaled almost three-quarters of the company’s market value. With the shares toward the upper end of their two-year range, the model finds no valuation support. The main risks are construction delays or cost overruns, the cost of servicing a heavy debt load, dilution if more equity is raised, and a fall in the price of bitcoin.
Hut 8 Stock Analysis: The Bottom Line
Our Hut 8 stock analysis finds a company in the middle of an expensive transformation. Quality is 23/100, Growth 57/100 and Opportunity 9/100, for a recommendation score of 30/100 and a Sell signal. The bull case is rapid revenue growth, a 62.3% gross margin, and the possibility that long-term data center contracts make revenue larger and more predictable if the projects are delivered on time. The bear case is deep losses, -$7.7 billion of free cash flow, debt-to-equity of 4.37 and a valuation of 57 times revenue. The signal could improve if new capacity starts producing revenue and the losses narrow, but the current data does not show that yet. Buy / Hold / Sell reflects StreetBriefs’ quantitative scoring model (Quality, Growth, Opportunity), a data-driven signal for further research, not a personalized recommendation to transact.
Financial Metrics Summary
| Metric | Value |
|---|---|
| Price & Valuation | |
| Current Price | $85.35 |
| 2-Year Low | $11.19 |
| 2-Year High | $124.83 |
| Market Cap | $10.52B |
| EV / Revenue | 57.03 |
| Our Scores | |
| Quality Score | 23 / 100 |
| Growth Score | 57 / 100 |
| Opportunity Score | 9 / 100 |
| Profitability | |
| Earnings Per Share | -$5.42 |
| Return on Assets | -9.7% |
| Return on Equity | -43.4% |
| Net Profit Margin | -188.6% |
| Gross Margin | 62.3% |
| Operating Margin | -275.4% |
| Growth | |
| Revenue Growth (TTM) | 81.4% |
| Balance Sheet | |
| Debt-to-Equity | 4.37 |
| Current Ratio | 19.35 |
| Quick Ratio | 0.67 |
| Income & Dividends | |
| Dividend Yield | 0.0% |
| Payout Ratio | 0.0% |
Data as of October 13, 2026
Our Three-Pillar Assessment
| Quality |
23/100 |
| Growth |
57/100 |
| Opportunity |
9/100 |
Quality measures business fundamentals: profitability, cash flow discipline, and balance sheet strength.
Growth captures revenue momentum, gross margin scalability, and the Rule of 40 efficiency test.
Opportunity signals entry timing: current valuation versus history and price position in the 2-year range.
Current price: $85.35 trading 32% below its 2-year high of $124.83.
Keep researching HUT
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This analysis is done using financial data from Yahoo Finance.
Always conduct your own due diligence and consult a qualified financial advisor before making investment decisions.
