Roth Capital Markets analyst Darren Aftahi raised his price target for HIVE Digital Technologies (HIVE Digital Technologies Stock Quote, Chart, News, Analysts, Financials NASDAQ:HIVE) to $7.50 from $6.00 while maintaining a “Buy” rating in an Aug. 25 report, citing the company’s new AI partnership with Bell Canada and stronger visibility in high-performance computing.
HIVE’s subsidiary BUZZ HPC has secured an exclusive preferred partnership with Bell Canada, the country’s largest telecom provider, to deliver sovereign AI infrastructure through Bell’s AI Fabric network.
Under the agreement, HIVE will deploy clusters of Nvidia GPUs, including Blackwell, beginning with a 5MW build in Manitoba and expanding to additional provinces over time. HIVE will build and operate the GPU clusters for Bell, including potential retrofits to liquid cooling, and serve as Bell’s exclusive AI Cloud partner.
Aftahi said the deal enhances HIVE’s credibility in high-performance computing and AI, supporting its target of approximately $100-million in annualized AI Cloud recurring revenue by the end of 2026.
“The agreement targets sovereign workloads in Canada, addressing data residency, and could also open the doors for HIVE to expand this service into Bell’s enterprise and government client base,” he said, adding that while the agreement may bring lower rates, it provides exclusivity with Bell and a national scaling opportunity.
Separately, HIVE reported that it has surpassed 16 exahash per second in Bitcoin mining, with Phase 3 at its Valenzuela site scheduled to begin deployment in September. Capital expenditures are fully funded to support expansion to 25 EH/s by U.S. Thanksgiving. Efficiency has also improved to about 17.5 joules per terahash (J/TH), which Aftahi said should help boost mining margins.
He projects HIVE will generate $144.5-million in Adjusted EBITDA on $302.8-million in revenue in fiscal 2026, improving to $228.0-million on $480.9-million in revenue in fiscal 2027.
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