The five-year GPU cloud contract lifts HIVE’s annualized recurring revenue toward a $200M target, signaling progress in its AI pivot.
HIVE Digital Technologies (NASDAQ:HIVE) shares climbed 11% to $2.98 after announcing a $350M five-year GPU cloud services agreement. The deal pushes BUZZ HPC’s contracted annualized revenue to $180M, nearing the company’s $200M ARR goal.
The contract, signed with an unnamed investment-grade enterprise, is expected to generate $70M in annualized revenue. HIVE remains down 16% for the month but is up 4% year-to-date and 20% over the past year, with a market cap of $883.85 million.
Cipher Mining rose 2% in sympathy, while NVIDIA edged up 0.8%, indicating the rally is HIVE-specific. The company still needs to fund $185M in capex to convert contracted revenue into cash.