Digi Power X Inc.

Digi Power X president Amar Alec and CEO Michel Amar both bought shares in open-market purchases this week, according to regulatory filings. President and director Amar Alec purchased 10,000 subordinate voting shares on August 20 at a weighted average price of $3.86 per share, bringing his directly held subordinate voting shares to just under 1.4 million. CEO Michel Amar purchased 20,000 shares on August 19 at an average price of $3.60 per share, for a total transaction value of $72,000, increasing his ownership stake by 1.19% to around 1.7 million shares valued at approximately $6.1 million. Both transactions were disclosed in filings with the US Securities and Exchange Commission. Insider purchases like these are often viewed by investors as a signal of management confidence in a company's near-term prospects.

A growing number of former Bitcoin miners are repositioning themselves as AI and high-performance computing infrastructure providers, using their existing power assets and land holdings to compete for long-term, contracted revenue from hyperscalers and AI labs. Hut 8 disclosed a $26.6 billion contracted backlog alongside $7.5 billion in non-convertible, non-recourse debt financing, with projected average annual net operating income of $1.75 billion across 949 MW of contracted capacity. IREN Limited has secured over $2.8 billion in multi-year contracts with Microsoft and Nvidia, with 85% of 2026 annual recurring revenue already contracted as it targets a 5 GW capacity buildout by 2028. HIVE Digital Technologies announced a $350 million, five-year AI cloud services agreement through its BUZZ HPC unit, bringing total contracted AI annual recurring revenue above $100 million. Digi Power X is building toward a $140 million+ annualized contracted run rate by 2027, anchored by a $1.1 billion take-or-pay contract with Cerebras for 40 MW in Alabama, while Keel Infrastructure Corp controls 574 MW across four HPC-earmarked sites funded by $819 million in liquidity. Analysts are broadly constructive on the transition thesis, but consistently flag dilution risk, contract execution, and interest-rate sensitivity as the primary threats to current valuation multiples.

Digi Power X reported second-quarter revenue of $6.6 million, including its first GPU bare-metal rental revenue of $1.1 million from about five weeks of operations at its Alabama facility. Adjusted EBITDA was $3.3 million, up $3.2 million from a year earlier, while net loss was $14.4 million due to $4.1 million in depreciation and $5.8 million in share-based compensation. Cash and cash equivalents stood at $142.4 million as of June 30, 2026, and approximately $150 million as of August 14, 2026, with no long-term debt. The company has deployed about $110 million in capital expenditures year-to-date for its Cerebras contract in Alabama, where Phase 1 of 15 megawatts is targeted for December 2026 and Phase 2 of 25 megawatts for March 2027. Management expects third-quarter revenue to increase by over 100% from the second quarter and is in advanced debt financing discussions with Goldman Sachs to mitigate shareholder dilution.