TheBlock
Benchmark raised its price target on Hut 8 another 18%, reframing the bitcoin miner as a 'power-first data center REIT' with 949 MW of AI data center capacity under contract. Shares are already up nearly 120% year to date, and the new target implies roughly 75% upside from current levels.
Why it matters
The target bump is the smallest part of the call. The structural reframing is what matters: Benchmark is telling clients to value Hut 8 on its contracted AI compute pipeline rather than its bitcoin mining hash. A 'power-first data center REIT' framing pulls the equity into the same comp set as diversified AI infrastructure operators, where multiples are anchored to long-duration power contracts and tenant credit rather than crypto-cycle hash economics.
Market impact
Hut 8 joins a small but growing list of former pure-play miners whose equity narrative has migrated from BTC exposure to AI compute exposure as contracted power capacity becomes the asset the market actually prices. The 949 MW pipeline, and how much of it converts to long-dated compute leases, is the metric that will drive the next leg of the rerating.
Frequently asked questions
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What is Benchmark's new price target for Hut 8?
Benchmark raised its Hut 8 price target by 18%, with the new target implying roughly 75% upside from current levels.
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How much AI data center capacity does Hut 8 have?
Hut 8 has 949 MW of AI data center capacity under contract, per Benchmark's note.
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Why did Benchmark reframe Hut 8 as a 'power-first data center REIT'?
Benchmark is telling clients to value Hut 8 on its contracted AI compute pipeline rather than its bitcoin mining hash, pulling the stock into the same comp set as diversified AI infrastructure operators.
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How have Hut 8 shares performed year to date?
Hut 8 shares are up nearly 120% year to date ahead of Benchmark's latest target bump.
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What metric will drive Hut 8's next rerating?
Conversion of the 949 MW pipeline into long-dated compute leases is the metric investors and analysts will watch for the next leg of the rerating.
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