HIVE surged 9% after signing a five-year, $350M GPU cloud contract that pushes BUZZ HPC's contracted annualized revenue to $180M, nearing a $200M ARR target. Cipher Mining rose 2% in sympathy while NVIDIA edged up just 0.8%, confirming the rally is HIVE-specific rather than a broader sector rotation. The cluster targets $500K per day in HPC and AI revenue, but $185M in capex still needs full funding before contracted revenue converts to cash.
Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Cipher Mining didn't make the cut. Grab the names FREE today. HIVE Digital Technologies (NASDAQ:HIVE) shares are up 11% to $2.98 in midday trading Monday, jumping from Friday's $2.69 close after the bitcoin miner unveiled its largest AI contract to date.
The catalyst is company-specific, keeping peer names and the broader miner group largely flat. HIVE stock remains down 16% for the month, though it's still up 4% year to date (YTD) and up 20% over the past year. The market cap sits at $883.85 million.
The catalyst is a five-year, $350 million GPU cloud services agreement signed through HIVE's BUZZ High Performance Computing subsidiary. The deal puts HIVE's $200 million annualized recurring revenue goal for the GPU cloud business within reach and validates the bitcoin-miner-to-AI-compute pivot investors have been pricing in. HIVE signed the five-year GPU cloud services agreement with an unnamed investment-grade enterprise customer.
The deal is expected to generate approximately $70 million in annualized revenue and brings BUZZ HPC's total annualized revenue to $180 million, blending $35 million in active realized annualized revenue with $145 million in contracted revenue expected to come online through the fourth quarter of 2026. BUZZ HPC will deploy a dedicated cluster of 2,016 NVIDIA (NASDAQ:NVDA) Blackwell Ultra GPUs in NVIDIA GB300 NVL72 rack-scale systems at the Bell AI Fabric facility in Merritt, British Columbia. The cluster uses NVIDIA Quantum-X800 InfiniBand networking and VAST Data's storage platform, powered by renewable hydroelectric energy with closed-loop liquid cooling (we profiled seven of the power, cooling, and networking suppliers behind builds like this in a free AI infrastructure report).
Capital expenditures for the deployment total $185 million, sizable against a market cap under $1 billion. The customer is providing an upfront deposit of $35 million, 10% of total contract value. CEO Aydin Kilic indicated the funding mix draws from HIVE's zero-coupon convertible bond issued in June, debt financing, and additional equipment financing.
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