As previously reported, Jefferies initiated coverage of Hut 8 with a Buy rating and $156 price target as the firm started coverage of four AI data center developers all with legacy Bitcoin mining roots. AI data center demand remains strong, with power availability the "binding constraint," says the analyst, who adds that tenant credit quality, location durability, and development execution will be the differentiating factors among this group. The Fluidstack lease had among the best economics seen by these developers and the company has the largest development pipeline in the firm's coverage, the analyst tells investors.
