Phase Space AI

Valuation

Hut 8 [HUT]

Hut 8 Corp. [HUT] — Valuation

As of: 2026-07-29 · Spot: $88.165 · EV (ex digital assets): $9,055m · Framework: v1.5.1 / criteria.md 2026-07-29 Cluster context: CLUSTER_Analysis.md

Two outputs are required on every name: a 12-month target and the implied-path test. Reporting only one is a defect. Both are addressed below, and where an input does not exist it is declared UNIDENTIFIED rather than substituted with a peer median.


Exit multiple: UNIDENTIFIED

HUT grew +225.5% YoY in Q1 2026. No comparator exists at that growth rate in AI compute at scale — CoreWeave, the fastest large pure-play, grew +111.6%. Per valuation.md the multiple is declared UNIDENTIFIED rather than defaulted.

What today's price requires

Holding the pure-play anchor of 6.6x EV / annualised AI revenue and today's EV ex-bitcoin of $9,055m fixed:

This is not a valuation gap; it is a category error. No plausible parameterisation of an AI-compute multiple explains HUT's price. The name is therefore not an AI-compute holding at any multiple, and pricing it as one is the mistake this cluster exists to prevent.

Sensitivity over the exit multiple

Exit multiple on annualised AI revenue AI revenue required to support $9,055m EV vs $15.4m demonstrated
6.6x (CRWV today) $1,372m 89x
10.9x (WYFI today) $831m 54x
25.0x $362m 24x
100.0x $91m 5.9x
586.9x (HUT today) $15.4m current rate

Every row is implausible before the last one. The exit-multiple sensitivity is the wrong instrument for HUT — the sensitivity that matters is the bitcoin price, which is not an exit multiple and cannot be treated as one.

The only defensible framing: a bitcoin proxy plus an option

Component $m Note
Market capitalisation 9,927 112,594,112 × $88.165
less bitcoin treasury (1,114) 16,331 BTC at 2026-03-31 fair value; $210.8m of it pledged
plus funded debt 403 DebtInstrumentCarryingAmount
plus miner purchase liability 361 obligation against the pledged BTC
less cash (160)
Implied value of the operating business ≈9,417 on $284.3m of TTM revenue = 33.1x, of which 87.5% is bitcoin mining

The market is paying ~$9.4bn for a bitcoin-mining business generating $284m of revenue whose incremental economics are set by the bitcoin price and global hashrate, plus $3.9m a quarter of AI revenue. On a bitcoin-per-share basis, HUT's 16,331 BTC across 112.59m shares is 0.145 BTC per share; at $88.165 the market is paying an implied ~$608k per bitcoin held, i.e. a very large premium to spot for the operating business attached to it.

12-month target: UNIDENTIFIED

Both required inputs are unavailable. (1) No consensus — Alpha Vantage quota not attempted; Consensus Criteria INDETERMINATE, blocks nothing. (2) The name's own multiple history spans multiple regime changes: the November-2023 Hut 8 Mining / US Bitcoin Corp merger, a fiscal-year change (10-KT transition report), the February-2026 disposal of the Far North power business, and the consolidation of American Bitcoin with a 44.7% NCI. valuation.md requires UNIDENTIFIED where the history spans a regime change. Declared UNIDENTIFIED. No target is manufactured.


Why the mining leg and the AI leg cannot share an exit multiple

This is the methodological core of the cluster and it applies directly to HUT:

Bitcoin mining AI/HPC hosting or cloud
Revenue driver commodity price × share of a rising global hashrate contracted $/MW or $/GPU-hour
Counterparty none named, with a term
Contract none 5–10 years, often with prepayments and RPO
Terminal value halves every ~4 years by protocol; global hashrate grows continuously a datacenter with a signed tenant
Observed gross margin, 2026 HIVE 24% (from 49%); CORZ −56% CORZ colocation 59%; WYFI 61%

A single blended exit multiple applied across these two streams is the exact defect that inflated ADMA by 51pp and INOD by 32pp. This analysis therefore ranks on EV / annualised AI-HPC revenue and EV / RPO — a price-for-what-exists and a price-for-what-is-signed — and scores the mining leg at UNIDENTIFIED with a floor at zero, because a stream with a negative gross margin at one operator and a halving margin at another has no defensible positive revenue multiple.


Required disclosures per valuation.md

Requirement This memo
The parameter solved for, and every parameter held fixed, named Stated above: AI-HPC revenue required, holding the exit multiple, share count and net debt fixed
Margin: demonstrated − required, in percentage points Stated above — this is the number the strategy ranks on
The exit multiple used, and the implied compression from today's trading multiple, as a number Stated above
Sensitivity over the exit multiple (never over scenario probabilities) Table above
Reverse DCF mandatory where terminal value > 60% of EV Terminal value does exceed 60% of EV. reverse_dcf.py was not solvable because the exit multiple is UNIDENTIFIED; the required-parameter analysis above is the substitute and is disclosed as such rather than presented as a DCF output
Growth-matched anchoring, or declare UNIDENTIFIED Declared above
Do not set the base exit multiple below every stated anchor Not applicable — no base multiple is asserted
TTM revenue, never last fiscal year TTM used throughout; see the model notes for the derivation