HIVE Stock Surges After $350M Nvidia AI Cloud Contract Puts $200M ARR Goal Within Reach

• The new agreement is expected to add approximately $70 million in annual revenue to BUZZ HPC's business.
• HIVE said the deal brings BUZZ HPC's annualized revenue run rate to roughly $180 million, moving it closer to its $200 million year-end target.
• The company expects to spend around $185 million on the project while using a combination of convertible financing, debt, and a customer deposit to fund the buildout.

Shares of HIVE Digital Technologies (HIVE) rallied in pre-market trade on Monday after the company landed its largest AI contract yet, a $350 million, five-year GPU cloud services agreement that brings it significantly closer to its $200 million annual recurring revenue (ARR) target.

The deal, signed through HIVE's BUZZ HPC subsidiary with an “investment-grade” enterprise customer, is expected to add about $70 million in annual revenue. That would lift BUZZ HPC's annual revenue run rate to roughly $180 million, putting the company within reach of its year-end goal.

HIVE stock rose nearly 6% in pre-market trade, with retail sentiment on Stocktwits around the shares trending in ‘bullish’ territory over the past day. 

HIVE's Largest AI Contract Yet

Under the five-year agreement, BUZZ HPC will deploy 2,016 Nvidia (NVDA) Blackwell Ultra GPUs at HIVE's Bell AI Fabric facility in Merritt, British Columbia.

The company stated the project would require approximately $185 million in capital spending. The enterprise customer will provide a 10% upfront deposit, which comes up to around $35 million

HIVE plans to use a combination of financing sources to fund the remaining buildout.

Chief Executive Aydin Kilic said the project will be funded in part by HIVE's zero-coupon convertible bond issued in June 2026, alongside debt financing to support the company's GPU purchases.

“We are pleased to announce this agreement as we accelerate towards our year-end target of $200 million of ARR for our GPU cloud business.”

– Aydin Kilic, President and Chief Executive Officer, HIVE Digital Technologies

$350M Deal Brings $200M ARR Goal Into View

The new contract adds about $70 million in annual revenue, bringing BUZZ HPC's total annual revenue run rate to roughly $180 million. That brings HIVE closer to its $200 million year-end annual recurring revenue target, after the company reported $110 million in contracted revenue for BUZZ HPC in its fiscal first-quarter 2027.

About $35 million of that revenue is already being generated, while the remaining $145 million is expected to come online as additional GPU capacity is deployed through the end of 2026.

Once the new infrastructure is fully operational in the fourth quarter, HIVE expects the GPU cloud business to generate roughly $500,000 per day in revenue.

HIVE Accelerates Its Shift Beyond Bitcoin Mining

HIVE still maintains a foothold in Bitcoin mining, according to its earnings report released Friday. The report showed the company held about $11 million of Bitcoin on its balance sheet, which it said it could sell or convert to help fund operations.

That Bitcoin balance, however, is relatively small compared with HIVE's roughly $208 million cash position and its rapidly expanding data infrastructure business, which is becoming a larger part of the company's growth strategy.

Retail traders on Stocktwits were also watching Bitcoin closely Monday morning for a potential move below $63,000. Bitcoin was trading at around $63,200 at the time of writing and was among the platform's top trending cryptocurrencies.

Read also: Why Coinbase, Ripple, Wall Street Executives Are Heading To White House This Week

For updates and corrections, email newsroom[at]stocktwits[dot]com.