Stocks

This Artificial Intelligence Stock, Down 57%, Is Getting Ridiculously Cheap

Post By Qayyum Rajan, CFA
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📌 HIVE Digital Technologies Ltd. (TSX‑V: HIVE)

📈 This Week’s Company Highlights

HIVE shares closed at C$3.05, down 0.08 (‑2.6%) on Monday. Despite the dip, the stock remains in a volatile recovery from its 52-week low of C$1.80, and still well under its peak near C$7.75.

Recent business momentum includes continued expansion of mining capacity and AI‑cloud services, positioning HIVE at the convergence of cryptocurrency and high-performance computing infrastructure growth.

💡 Key Metrics at a Glance

MetricValue
Stock PriceC$3.05 (–1.97% over week)
Market Cap~USD $494 million
P/ENegative (loss-making)
Forward P/EN/A
52‑Week RangeC$1.80 – C$7.75
YTD ReturnApprox. –25.8%
Dividend YieldNone

🔍 Analyst Insights & Commentary

  • Consensus Rating: Buy (no Holds or Sells) 💎

    • Supported by 8 analysts; average price target around $6.67, with a high at $9.00 and low at $5.00
  • Implied Upside: Potential ~+180% from current levels

Broken down:

  • Strong Buy: 0

  • Buy: 8

  • Hold/Sell: 0

📰 Recent News & Developments

  1. AI‑Cloud Earnings Tripled: HIVE’s High-Performance Computing and AI‑cloud revenue soared to US $10.1M, nearly 3X year-over-year

  2. Mining Growth Milestone: May 2025 saw a 58% spike in Bitcoin hashrate, jumping from 6.6 EH/s to 10.4 EH/s, with daily Bitcoin production topping 5 BTC. HIVE remains on track to reach 25 EH/s by year-end

  3. CEO Speaks to Strategy & Expansion: In interviews, HIVE executives confirmed it has reached 12 EH/s, is targeting 18 EH/s by summer, and expects to hit $400M ARR soon from combined mining and AI‑cloud operations

🚀 Growth Indicators & Future Potential

  • Sales Growth (Next Year): ~49%

  • EPS Growth (Next Year): Not meaningful (earnings currently negative)

  • 5‑Year EPS Growth (Estimate): Deeply negative (reflecting past losses)

HIVE is still loss‑making—but momentum is accelerating rapidly, especially in AI‑cloud and GPU infrastructure, which may shift its profitability outlook soon.

Why Investors Are Watching HIVE 📊

  • Rapid Expansion: Adding nearly 1 EH/s per week, surpassing 10 EH/s as of June, with larger targets ahead

  • AI Cloud Revenue Surge: Buzz HPC and AI GPU clusters boosting revenue diversification

  • Strong Analyst Confidence: Consensus Buy and a wide range of upside scenarios (~+180%) from current share price

⚠️ Risks & Considerations

  • Profitability Not Yet Achieved: Currently operating at a net loss; margins need improvement

  • Highly Volatile: Bitcoin price fluctuations and crypto regulations could impact earnings dramatically

  • Capital Intensive Growth Plan: Expansion hinges on timely hardware delivery and energy access in Paraguay

🧠 Bottom Line

HIVE Digital Technologies is still small by market cap—but it’s punching above its weight with fast-growing Bitcoin mining capacity and emerging AI‑cloud services via its BUZZ HPC division. With the stock trading deep under analyst targets and strong upside potential, investors eye this one as a speculative—but potentially high-reward—play at the intersection of crypto and AI infrastructure.

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Qayyum Rajan, CFA
Written by

Qayyum Rajan, CFA

Qayyum is the CEO of Wealth Awesome, a leading Canadian personal finance publication. As a CFA charterholder with extensive experience in fintech, data science, and quantitative finance, he brings a unique analytical perspective to investing and wealth management.

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Published: July 29, 2025
Last Updated: January 8, 2026

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