Billionaire investor backs Hut 8 Mining pivot to AI data center infrastructure, signaling confidence in crypto-to-compute transition.
Billionaire investor Daniel Loeb's Third Point has expanded its artificial intelligence infrastructure portfolio with a new position in Hut 8 Corp., acquiring 869,563 shares during the first quarter of fiscal 2026. The investment marks Third Point's confidence in the company's pivot from bitcoin mining to high-performance computing and AI infrastructure.
Hut 8 reported challenging Q1 results, posting a loss of $1.98 per share against a consensus estimate of a 17-cent loss and generating revenue of $71.01 million, below the consensus forecast of $81.27 million. However, the company disclosed substantial progress on its infrastructure expansion, securing $16.8 billion in contracted lease revenue across two hyperscale AI campuses backed by triple-net, take-or-pay agreements with investment-grade counterparties.
The centerpiece of this expansion is Hut 8's Beacon Point AI data center campus, where the company has commercialized its first phase through a 15-year lease agreement for 352 megawatts of IT capacity with a confidential, investment-grade tenant. The deal carries $9.8 billion in base-term contract value, with potential to reach $25.1 billion if all three five-year renewal options are exercised. The facility will be designed around Nvidia's DSX reference architecture and supported by infrastructure partners American Electric Power, Vertiv Holdings Co., and Jacobs.
Separately, Hut 8 awarded a sole-source engineering, procurement and construction management contract to Jacobs Solutions Inc. for delivery of a second U.S. AI data center campus. To fund the 352-megawatt Texas facility, the company priced a $4.25 billion senior secured notes offering.
The announcements triggered multiple analyst upgrades. Piper Sandler raised its price target from $93 to $127, BTIG raised from $90 to $115, Citizens boosted from $100 to $140, Canaccord Genuity raised from $70 to $130, and Rosenblatt increased from $89 to $124. Overall, the stock carries a Buy rating across 21 analysts with an average price target of $120, ranging from a low of $75 to a high of $156.
The next significant catalyst arrives with the estimated August 6, 2026 earnings report, which analysts project will show a 32-cent loss per share alongside revenue of $80.96 million.