HIVE Digital Technologies (HIVE) shares got a boost Friday after the company announced it signed customer agreements worth approximately $30 million for its AI cloud strategy. It's a meaningful pivot for a company looking to capitalize on the surging demand for high-performance computing infrastructure.

The new contracts support the initial rollout of BUZZ's AI-optimized GPU deployment at its Canada West facility in Manitoba. The compute capacity is scheduled to come online during the quarter ending March 31, 2026, and management expects this first phase alone to generate around $15 million in annual recurring revenue once it's fully operational.

Scaling Up the GPU Cloud Business

But HIVE isn't stopping there. The company plans to aggressively scale its GPU cloud operations throughout 2026, with projections showing total annualized revenue from its HPC segment climbing from approximately $20 million currently to roughly $35 million. That's a 75% increase, and it's backed by strategic partnerships with Dell and Bell Canada that beef up HIVE's infrastructure and connectivity capabilities.

The timing is interesting. While the broader market slipped on the previous trading day—the Dow Jones fell 0.35% and the S&P 500 dropped 0.28%—HIVE moved higher. That suggests investors are reacting to company-specific catalysts rather than getting swept up in broader market sentiment.

What the Charts Say

The technical picture isn't exactly pretty. HIVE is currently trading 20% below its 20-day simple moving average and a painful 42.4% below its 100-day SMA, signaling bearish momentum in both the short and medium term. Over the past year, shares have declined 25.17%, and they're sitting much closer to their 52-week lows than highs.

The RSI sits at 33.88, which is neutral territory, while the MACD is below its signal line—a bearish indicator. Together, these metrics suggest mixed momentum and some uncertainty about where the stock heads next.

• Key Resistance: $2.50
• Key Support: $1.50

Still, the company's expansion into AI cloud services could be a game-changer. With demand for AI computing power accelerating globally, HIVE is positioning itself to capture meaningful market share in a high-growth sector.

Earnings on the Horizon

HIVE Digital Technologies is scheduled to report earnings on February 17, 2026. Here's what analysts are expecting:

• EPS Estimate: Loss of 7 cents (down from a 1 cent profit year-over-year)
• Revenue Estimate: $97.73 million (up from $29.23 million year-over-year)
• Valuation: P/E of 9.3x (suggests a value opportunity)

That revenue projection is eye-catching—more than tripling year-over-year. Even with a modest loss expected, the growth trajectory tells a compelling story about HIVE's business transformation.

What Analysts Think

The analyst community maintains a Buy rating on HIVE with an average price target of $7.30. Recent analyst activity includes:

• Keefe, Bruyette & Woods: Downgraded to Market Perform with a $3.50 target (January 27)
• B. Riley Securities: Buy rating with a lowered $7.00 target (November 21, 2025)
• Canaccord Genuity: Buy rating, maintaining a $10.00 target (November 21, 2025)

Here's the interesting part: While the stock trades at what appears to be a value P/E multiple, the strong analyst consensus and rising revenue estimates suggest the Street sees significant growth potential ahead. That $7.30 average target represents 235% upside from current levels—a massive gap that reflects either deep undervaluation or ambitious expectations for the AI cloud expansion.

Price Action: HIVE Digital Technologies shares were up 1.87% at $2.18 during premarket trading on Friday.