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Digi Power X Inc. (DGXX) shares slid more than 3% in Friday’s premarket trade ahead of the company’s first-quarter (Q1) results. Despite the pullback, the stock is headed for its seventh consecutive week in the green.
Meanwhile, retail traders on Stocktwits are extremely bullish on the company based on its recent multi-billion-dollar colocation deal with Cerebras Systems (CBRS), an artificial intelligence chipmaker, that went public on Thursday.
Wall Street expects the data center infrastructure company to post a revenue of $11.13 million, an increase of about 20% from the corresponding quarter of 2025. Meanwhile, analysts expect the company to post a loss per share of $0.05, according to data from Fiscal.ai.
In its last quarterly update, the company said it had significant cash on hand and no long-term debt.
Earlier this month, Digi Power X announced that it had struck a multi-billion-dollar deal with Nvidia rival Cerebras to provide up to 40 megawatts of compute power for the colocation of an AI data center campus in Columbiana, Alabama, on a property it already owns. The initial 10-year term is valued at about $1.1 billion, with a total potential contract value of up to $2.5 billion, inclusive of renewal terms.
Cerebras also made a stellar debut on stock markets on Thursday, with its shares surging more than 68%, catapulting its market capitalization to about $95 billion. Digi Power’s partnership with Cerebras validates its infrastructure and could potentially boost its stock in the coming days.
In April, the company said that it had closed a bare metal GPU rental
agreement with SubQ AI. The 24-month contract was valued at about $19.6 million, effective from May 15.
On Stocktwits, retail sentiment around the stock has stayed ‘extremely bullish’ amid ‘extremely high’ message volumes over the past 24 hours. The ticker has also seen an increase of more than 25% in the number of watchers over the past seven days.
One bullish user dismissed the share decline. “Just a shakeout. Cerebras IPO was a hit. Hang on to your shares, this will do well,” they said.
Another bullish user predicted that the company’s shares could rise to up to $10 after the earnings release.
DGXX stock has soared more than 158% so far in 2026.
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