Rosenblatt cuts Hive Digital stock price target on market conditions
Rosenblatt reduced its price target for Hive Digital Technologies (HIVE) to $5.00 from $6.00, citing market conditions, while maintaining a Buy rating. The company reported a 70% revenue increase to $329 million over the last year, but faces cash burn and AI Cloud deployment delays. HIVE trades at $1.75, near its 52-week low, with a fiscal 2028 adjusted EBITDA estimate of 4.8 times its stock price.
How this was made
The 30-second read
Why it matters
The analyst downgrade reflects concerns over cash burn despite revenue growth, which could weigh on the stock.
Market read
Target reduction and mixed earnings signals may prompt short‑term selling, but long‑term growth contracts could support a rebound.
What to watch
Potential upside from the $185 million GPU cloud ARR contract and upcoming GB200/GB300 deployments.
Background
Hive Digital Technologies is a Bitcoin‑mining and HPC provider that funds its growth partly through crypto mining revenue.
Ticker impact
Rosenblatt lowered its price target for Hive Digital Technologies to $5.00 from $6.00 and highlighted a fiscal Q2 beat with revenue growth but ongoing cash burn.
downward pressure as investors price in lower valuation and cash‑burn concerns
Target reduction and mention of profitability challenges suggest the stock may face short‑term selling pressure.
Market effects
Highlights volatility in the crypto‑mining and high‑performance computing sector.
Limited to U.S. and crypto‑focused investors.
Modest, as Hive is a micro‑cap with niche exposure.
Counterpoint
The price target cut may be overly cautious given the 70% revenue surge and new financing facility.
Key entities
- AnalystRosenblatt
Equity research firm that issued the target cut.
