Key Highlights

  • HIVE Digital Technologies shares rose approximately 15.06 percent to $3.10, up $0.41 from the prior close of $2.69.
  • The move followed news that Subsidiary BUZZ HPC signed a five-year, roughly $350 million AI cloud services agreement with an investment-grade enterprise customer.
  • The deal lifts BUZZ HPC's total annualized Revenue run rate to about $180 million, moving the company closer to its $200 million target.
  • Trading Volume reached approximately 57.11 million shares, within a day range of $2.84 to $3.16.

AI Cloud Contract Drives Shares Higher

HIVE Digital Technologies (NASDAQ:HIVE), a technology company operating green energy powered data centers that combine Bitcoin Mining with high performance computing and AI cloud services, traded sharply higher after its BUZZ HPC subsidiary signed a new AI cloud services agreement. The five-year, roughly $350 million contract calls for deploying 2,016 NVIDIA Blackwell Ultra GPUs at a hydro powered Facility in Merritt, British Columbia, for an investment-grade enterprise customer. The deal lifts BUZZ HPC's annualized revenue to about $180 million, with management targeting $200 million in annualized Recurring Revenue for the segment by year-end.

Quarterly Results Show Diversification Progress

The contract news arrived days after HIVE reported fiscal first-quarter 2027 revenue of $79.1 million, up 73 percent year over year, with Bitcoin mining contributing $72.1 million and HPC and AI services contributing $7.1 million. Adjusted EBITDA was positive at $13.4 million, though the company posted a GAAP net loss of $142.9 million, driven largely by a non-cash $84.7 million Swedish VAT tax provision that is being appealed and is not currently planned to be paid. The company also disclosed a letter of intent for a Sweden-based HPC colocation deal that could push combined HPC contracted revenue to $225 million, ahead of the original year-end target, though the agreement has not yet been finalized.

Liquidity Improves, but Dilution and Execution Risks Persist

Liquidity strengthened materially, with cash reaching about $208 million, up from roughly $23 million at the end of March, following convertible note offerings totaling approximately $245 million to $250 million with capped calls intended to limit dilution. Even so, an ongoing at-the-market Equity program, a recent downgrade from one research firm, and a delayed quarterly filing have added to investor caution. HIVE's power portfolio spans roughly 860 megawatts across Canada, Paraguay, and Sweden, though realizing its pipeline depends on execution across multiple simultaneous buildouts.

Investor Takeaway

HIVE Digital Technologies shares advanced about 15.06 percent to $3.10 as the market weighed a sizable AI cloud contract against a GAAP net loss and dilution concerns. These are the verified facts as reported. Whether the rally extends may depend on the pace of HPC contract conversion and how the company manages its financing needs.

This article is for informational purposes only and does not constitute Investment advice. Readers should conduct their own research or consult a Financial Advisor before making investment decisions.