There is a debate in the investing landscape around the artificial intelligence (AI) bubble, whereby some believe the significant rallies in AI stocks will vanish. This fear stems from the dot.com bubble of 2000. But AI is not going anywhere. It is real, and it is happening. We are in the AI supercycle as computing power becomes the next utility. Several Canadian data centre companies, including Hive Digital Technologies (TSXV:HIVE), are tapping this AI supercycle.

In an interview with Motley Fool Canada, Frank Holmes, Executive Chairman of Hive Digital Technologies, discussed his plans to capture the dual supercycle of Bitcoin Mining and AI Data Centres (DC).

The AI data centre supercycle

Data centre companies are providing infrastructure for enterprise networks and cloud computing. But the AI data centre opportunity is different. Tier-3 AI data centres cost three times more than a Tier-1 Bitcoin mining data centre. AI data centres need 40% more cooling capacity and a longer time to become operational.

Going into the very basics, Frank explained that a Tier-1 bitcoin mining DC needs an application-specific integrated circuit (ASIC), which costs $2,000 per piece and six hours to unwrap and run. But an AI DC needs a $40,000 Nvidia graphics processing unit (GPU) that takes six weeks to unwrap and run. The biggest capital expenditure is the GPU, and the highest operating cost is electricity.

Given the speed at which AI is growing, the need for AI compute will only increase. Building an AI DC from scratch takes anywhere between three and five years. Hive is looking to reduce this cost by converting Tier-1 DCs to Tier-3. It has chosen Paraguay to leverage its cheap electricity cost and a flat tax rate of 10%. Here, it is using the biggest dam in the Western Hemisphere to generate hydropower to run its AI DCs.

Hive boasts an 80% operating margin on HPC computing after incorporating energy costs. The company is looking to tap the AI DC supercycle, where it will have to compete with companies  Equinix and Applied Digital, which already have a portfolio of purpose-built DCs for enterprise networking and are building AI DCs. Hive plans to compete with the giants by building DCs faster and cheaper.  

Valuing Hive purely on the AI data centre supercycle

At present, Hive BUZZ platform accounts for only 6% of its revenue. It aims to convert this into a flywheel model and is looking for AI DC contracts from governments, defence, and hyperscalers. A single order win from a hyperscaler could set the flywheel in motion and generate significant operating profit.

Frank is looking to replicate crypto miner Crusoe’s model of building an AI DC in areas where there is surplus electricity. Crusoe is venturing into the purpose-built AI “neocloud,” building a 1.2-gigawatt Stargate data centre for OpenAI in Texas. Crusoe doesn’t trade on the stock exchange, but its share price surged 360% in the private market in the last two years. If Hive lands a hyperscaler deal, its share price could also triple and touch $10.

The Bitcoin mining supercycle

Although the AI DC supercycle has potential, it remains vulnerable to economic cycles. Demand for AI capacity will fluctuate. However, Hive will continue to mine Bitcoin, and Frank expects BTC value to keep growing like that of physical gold.

Hence, instead of selling BTC to fund the AI data centres, Hive is pledging BTC to fund its AI DC. When the value of BTC rises, one BTC will fetch more paper currency, which is a depreciating asset. Hive’s BTC inventory will help it enjoy the future Bitcoin supercycle as BTC becomes the digital gold in the AI world.

Is Hive a value pick for the AI and Bitcoin rally?

Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) is a key value driver in the AI DC space. If we compare other Bitcoin miners and AI DC companies,  Bitfarms and Applied Digital, they are trading at an Enterprise Value-to-EBITDA of 31.8 times and -7.4 times, respectively. Hive is trading at 4.7 times.

Hive is expanding in Latin America, tapping the capital market by listing on the Colombian Stock Exchange. This complements its listings in Canada, Germany, and on Nasdaq. This small-cap stock has what it takes to become a mid-cap stock. Although trading volumes are lower and multiple listings are diluting equity value, the exponential growth cycles of AI DC and Bitcoin mining could make it the next millionaire-maker.

The post How HIVE Stock Can Win Big With Bitcoin Mining and AI Data Centres appeared first on The Motley Fool Canada.

More reading

• TSX Today: What to Watch for in Stocks on Tuesday, April 7
• 1 Cheap Canadian Stock Down 66% to Buy and Hold
• When Does a Taxable Account Actually Beat a TFSA? Here’s the Answer
• 2 Canadian Stocks That Look Ready to Break Out This Year
• A 7% Dividend Stock Paying Out Monthly

Fool contributor Puja Tayal has no position in any of the stocks mentioned.  The Motley Fool recommends Equinix and Nvidia. The Motley Fool has a disclosure policy.

You don’t need to be a math genius or crunch large numbers to get good returns. All you need is a strong reason that will grow the company’s revenue and profits, which makes you bullish on the stock. As long as your reason to invest is intact, investing in stocks is as simple as buying the dip.

Two simple Canadian stocks to buy now

Descartes Systems

Descartes Systems (TSX:DSG) stock has dipped 30% in the last 12 months. The reason to buy this stock is its stable revenue growth and 45% adjusted Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) margin. Descartes’s solutions – like route tracking, compliance, Global Trade Intelligence, and e-commerce – help companies transmit goods, services, and information. It caters to all types of trades, from international to local to doorstep delivery. That has not changed in 2025.

Its solutions are still relevant for companies needing to plan and execute their trade. What has changed is the global trade landscape, which is seeing a structural shift due to US tariffs. Several US trade partners are diversifying into new markets to reduce dependence on United States’ exports. This shift has impacted trade volumes in the short term, but it creates more opportunities for route planning, customs, and compliance.

And Descartes is well-placed to facilitate this shift. It has the solutions, scalability, and Global Logistics Network (GLN) to help companies adjust to the new trade deals. Once the new order is set, Descartes could see accelerated revenue growth, which could drive up its stock price.

If we use historical data as a reference, Descartes’s stock fell 20% during the last quarter of 2018 when the US-China trade war was at its peak. However, its share price jumped 40% in the first six months of 2019 as trade volumes recovered.

The management has cut costs to sustain its 45% adjusted EBITDA margin amid low trade. It has zero debt and a $240.6 million cash reserve, which is sufficient to withstand a slowdown. All these factors show that the tariff-induced dip is short term and its long-term growth potential remains intact, making it a buy right now.

HIVE stock

HIVE Digital Solutions (TSXV:HIVE) stock has dipped 62% since October, when the US government shutdown began. However, behind Hive’s dip is the 33% dip in Bitcoin prices. After all, Hive’s biggest asset continues to be its Bitcoin inventory, which it has mined over the years. How does it impact its operations?

Hive earns 94% of its revenue from Bitcoin mining, which is influenced by Bitcoin prices. Bitcoin prices fluctuate depending on liquidity conditions and investor sentiment. The recent dip sent the Bitcoin price to its seven-month low. Miners took this opportunity and started accumulating more Bitcoins. They are also holding the Bitcoins they mined instead of selling them.

Hive sells Bitcoin when it needs capital to invest in capacity expansion. It has funded its expansion from six Exahash per second (EH/s) to 25 EH/s using its Bitcoin inventory without taking any debt. It has been reducing the direct cost of mining to remain profitable even when Bitcoin prices fall.

BTC mining is no longer as profitable as before due to the halving event. Hence, Hive is diversifying its revenue stream to BUZZ high performance computing (HPC). Before 2023, the reason to buy Hive was to get exposure to BTC price volatility. Buy at $4 or below and sell at $7 or above. After Hive’s shift to HPC, the reason has shifted to the growing adoption of artificial intelligence (AI).

Hive is looking to tap the demand for AI cloud computing by renting its Nvidia graphics processing unit (GPU)-powered data centres. HPC is a high-margin business, and if Hive secures more corporate clients like Bell Canada, BUZZ could become a major contributor to its revenue. The dip in BTC price does not affect Hive’s HPC growth, making it a stock to buy near $4 and hold for the long term.

The post 2 Dead Simple Canadian Stocks to Buy With $1,000 Right Now  appeared first on The Motley Fool Canada.

More reading

• 5 Canadian Stocks to Watch as 2026 Really Gets Underway 
• Market Crash: 2 Stocks I’d Buy Without Hesitation
• The Best Stocks to Invest $50,000 in Right Now
• This Aggressive Savings Strategy Can Help Make Up for Lost Time
• What Are 2 Great Tech Stocks to Buy Right Now?

The Motley Fool recommends Descartes Systems Group and Nvidia. The Motley Fool has a disclosure policy. Fool contributor Puja Tayal has no position in any of the stocks mentioned.

Hut 8 Mining (TSX:HUT) stock fell 21.7% on Wednesday, extending its dip that began on October 15, 2025. The stock is down 32% in five and a half days after a 106% rally in 45 days from September 1 to October 14. This is a trend all crypto stocks witnessed as the price of several crypto coins fell.

However, Hut 8 Mining was the top loser on the TSX. Behind the dip was a sharp correction in Bitcoin prices as the U.S. government shutdown entered its 21st day and Donald Trump threatened to impose a 100% tariff on Chinese imports. This created panic, and investors switched from high-risk crypto to safe-haven gold.

Hut 8 is sensitive to Donald Trump’s decisions, as Donald Trump Jr. and Eric Trump own a 20% stake in American Bitcoin, in which Hut 8 holds an 80% stake. American Bitcoin’s share price dropped 10.27% on Wednesday, which also impacted Hut 8.

Although Hut 8 is an energy infrastructure platform that offers power, digital infrastructure, and compute at scale, its key source of profit continues to be the sale of Bitcoin. It had 10,667 Bitcoin held in reserve as of June 30, 2025. Hence, the share price is sensitive to the BTC price.  

The post Why Hut 8 Stock Fell Wednesday appeared first on The Motley Fool Canada.

More reading

• TSX Today: What to Watch for in Stocks on Tuesday, April 7
• 1 Cheap Canadian Stock Down 66% to Buy and Hold
• When Does a Taxable Account Actually Beat a TFSA? Here’s the Answer
• 2 Canadian Stocks That Look Ready to Break Out This Year
• A 7% Dividend Stock Paying Out Monthly

Fool contributor Puja Tayal has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Bitfarms (TSXV:BITF) stock tanked 14% on Wednesday, topping the TSX trading volume charts with 10.45 million shares exchanging hands. The stock is continuing its downtrend that began on October 15, 2025, falling 40% in five days, after rallying 397% in 45 days from September 1, to October 14, 2025.

Other Bitcoin mining stocks, like Hut 8 Corp and Hive Digital Technologies, have also been in a downtrend. The above stocks fell as the Bitcoin price corrected 14% from its all-time high of $175,909 on October 6.

In the case of Bitfarms, investors have been more bearish as the company raised US$588 million in 1.375% convertible senior notes due 2031 on October 21, just after completing a US$300 million issue on October 15. This back-to-back capital raise will be used for general corporate purposes. This capital raising will significantly increase its debt from just $50 million as of June 30, 2025, raise interest costs, and dilute equity shareholding.

Debt raising by a company that reported an operating loss of US$72 million in the first half of 2025 raises an eyebrow. Until its shift to artificial intelligence/high-performance computing starts generating revenue, the stock may be speculative, moving on Bitcoin prices and AI enthusiasm.

The post Why Bitfarms Stock Was Tanking Wednesday appeared first on The Motley Fool Canada.

More reading

• TSX Today: What to Watch for in Stocks on Tuesday, April 7
• 1 Cheap Canadian Stock Down 66% to Buy and Hold
• When Does a Taxable Account Actually Beat a TFSA? Here’s the Answer
• 2 Canadian Stocks That Look Ready to Break Out This Year
• A 7% Dividend Stock Paying Out Monthly

Fool contributor Puja Tayal has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Monday was a bull ride for Bitfarms (TSXV:BITF). It was the most actively traded stock on the TSX with 10.4 million shares exchanging hands. That is almost double its average trading volume of 5.4 million. Most of the trading volume was skewed towards the buy momentum, which drove the share price up 14%.

Bitfarms bull momentum  

Bitfarms’ stock price has been reacting to Bitcoin prices since September 28: Bitcoin’s price rose 14.5% while Bitfarms’ share price surged 34% between September 28 and October 6. The stock is sensitive to Bitcoin prices as the company receives most of its revenue from Bitcoin mining.

Bitfarms operates 14 Bitcoin data centres in Canada, the United States, and Paraguay, and earns in BTC for providing hashing power and high-performance computing (HPC)/artificial intelligence (AI) compute capacity.  

What happened on Monday?

OpenAI signed an agreement to deploy 6 gigawatts of AMD graphics processing units (GPUs) for AI infrastructure, with 1 gigawatt deployment expected to be completed in 2026. Now, Bitfarms has no direct correlation with AMD or OpenAI. However, the OpenAI-AMD deal created bull momentum in the HPC/AI infrastructure space. This bull momentum, coupled with the BTC price rally, made traders go nuts for Bitfarms stock.   

The post Why Bitfarms Stock Was Going Nuts Monday appeared first on The Motley Fool Canada.

More reading

• TSX Today: What to Watch for in Stocks on Tuesday, April 7
• 1 Cheap Canadian Stock Down 66% to Buy and Hold
• When Does a Taxable Account Actually Beat a TFSA? Here’s the Answer
• 2 Canadian Stocks That Look Ready to Break Out This Year
• A 7% Dividend Stock Paying Out Monthly

The Motley Fool recommends Advanced Micro Devices. The Motley Fool has a disclosure policy. Fool contributor Puja Tayal has no position in any of the stocks mentioned.

HIVE Digital Technologies (TSXV:HIVE) zoomed more than 20% on Monday, October 6, to $7.68, near its 52-week high of $7.75 last reported in November 2024. The stock has surged 209% since July 1, and is now oversold at a Relative Strength Index of 79.

Two factors have been driving the stock’s growth.

HIVE increases production capacity

On October 5, HIVE released September production figures: It produced 267 Bitcoin, up 138% from a year ago. Driving the production was its capital spending to increase the average hashrate to 19.4 exahash per second (EH/s), with a peak of 21.7 EH/s. The company is on track to expand its capacity from six EH/s in February to 25 EH/s by November as the 100-megawatt phase-three Valenzuela facility in Paraguay starts full-scale operations. The increased capacity will help Hive produce more Bitcoins despite an increase in difficulty.

BUZZ high-performance computing

Hive has been diversifying its revenue streams by making its graphics processing units (GPU)-powered data centres available for high-performance computing. Its BUZZ HPC revenue has shown remarkable growth, with revenue surging 85% year over year in the June 2025 quarter and 100% in the March 2025 quarter.

Hive has partnered with Canadian artificial intelligence companies like BCE, Dell Canada, and VAST Data to secure enterprise clients.

Now is a good time to sell the stock while it hovers near its peak.

The post Why HIVE Stock Zoomed 20% Monday appeared first on The Motley Fool Canada.

More reading

• TSX Today: What to Watch for in Stocks on Tuesday, April 7
• 1 Cheap Canadian Stock Down 66% to Buy and Hold
• When Does a Taxable Account Actually Beat a TFSA? Here’s the Answer
• 2 Canadian Stocks That Look Ready to Break Out This Year
• A 7% Dividend Stock Paying Out Monthly

Fool contributor Puja Tayal has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Since retirees lack regular income, they are generally unable to absorb capital losses, which makes them risk-averse investors. They tend to protect their capital while earning a stable passive income. Therefore, retirees should consider investing in companies with solid fundamentals, consistent dividend payouts, and healthy growth prospects. Against this backdrop, let’s examine two high-quality Canadian dividend stocks that are ideal for Canadian retirees.

Enbridge

Enbridge (TSX:ENB) is a diversified energy company that manages extensive pipeline networks, delivering oil and natural gas from major production regions to refining hubs and end-use markets across North America. The company’s tolling framework and long-term take-or-pay contracts shield its financials from market volatility, ensuring stable and predictable cash flows from its assets. It also operates low-risk natural gas utility businesses and renewable energy assets that supply power under long-term power purchase agreements (PPAs).

Meanwhile, the company generates approximately 98% of its adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) from regulated assets and long-term contracts, with minimal exposure to fluctuations in commodity prices. Additionally, nearly 80% of its adjusted EBITDA is indexed to inflation, thereby protecting its financials against rising costs. Backed by stable cash flows, the company has paid uninterrupted dividends for 70 years and has increased them at an annualized rate of 9% since 1995. ENB stock currently distributes a quarterly dividend of $0.9425 per share, translating into a forward yield of 5.4% as of the September 30 closing price.

Despite the growing transition towards clean energy, the Organization of the Petroleum Exporting Countries (OPEC) projects that oil and natural gas will remain over 50% of the energy mix by 2050. Therefore, the growing energy demand could drive the demand for Enbridge’s services. Meanwhile, the company has identified $50 billion in growth opportunities and plans to invest $9 billion to $10 billion annually to expand its asset base. Amid these expansions, management expects the company’s adjusted EBITDA and DCF (discounted cash flow) per share to grow at a mid-single-digit rate over the medium term, enabling continued dividend growth.

Fortis

Another attractive dividend stock that I believe would be ideal for retirees is Fortis (TSX:FTS), which operates a highly regulated utility business. It serves 3.5 million customers across Canada, the United States, and the Caribbean, meeting their electric and natural gas needs. With most of its assets regulated and 93% tied to low-risk transmission and distribution operations, the company’s financials are less vulnerable to economic cycles and market volatility.

Besides, its expanding rate base has boosted its financial growth, thereby driving its stock price growth. Over the last 20 years, the electric and natural gas utility company has delivered an average total shareholders’ return of 9.5%. Additionally, it has raised its dividend uninterruptedly for 51 years and currently offers a healthy forward dividend yield of 3.5%.

Additionally, Fortis is expanding its rate base through its $26 billion capital investment plan, with $2.9 billion invested in the first two quarters of this year. These investments could expand its rate base at a 6.5% CAGR (compound annual growth rate), reaching $53 billion by 2029. Further, the company could also benefit from its improved operating efficiency and favourable customer rate revisions. Amid these growth prospects, Fortis’s management is optimistic about raising its dividend by 4–6% annually through 2029, thereby making Fortis an attractive option for retirees.

The post Retirees: 2 Canadian Dividend Stocks That Still Look Attractive for Passive Income appeared first on The Motley Fool Canada.

More reading

• 2 Canadian Stocks That Look Ready to Break Out This Year
• How to Build a $50,000 TFSA That Throws Off Nearly Constant Income
• 3 Canadian Dividend Stocks Perfect for Retirees
• 5 TSX Dividend Stocks Worth HoldingThrough the Next 10 Years
• A Year After the Rate Pivot – Here Are 2 Canadian Stocks I’d Still Buy Now

Fool contributor Rajiv Nanjapla has no position in any of the stocks mentioned. The Motley Fool recommends Enbridge and Fortis. The Motley Fool has a disclosure policy.

There is a common misconception that you need thousands of dollars to invest in the stock market. A stock’s quality is determined by the value it brings. This value comes from the company’s revenue and earnings potential. When we say these are cheap stocks, it means that they have good earnings potential, but that is not reflected in the stock price.

Two dirt-cheap stocks to buy with $200

Knowing what to expect from the stocks is important before investing in them. You cannot expect stocks to convert $200 into $2,000 and be disappointed with a 10-15% return. While there are such stocks that make that conversion possible, they are rare. These stocks can give reasonable returns.

HIVE Digital stock

HIVE Digital Technologies (TSXV:HIVE) is trading at a valuation of 2.7 times price-to-sales ratio and 7.27 times price-to-earnings ratio. This valuation is attractive as the stock has not priced in the revenue growth from the expansion of Exahash per second (EH/s) capacity.

Hive has two businesses: the major business is Bitcoin mining, which generates 90% revenue. The challenge with this business is the halving of Bitcoin, which halves the number of Bitcoins that can be mined with a certain EH/s. Hence, the company increases its capacity to mine more Bitcoin. This time, Hive has accelerated its expansion. It is on track to expand its capacity from six EH/s in February to 25 EH/s by November, which could help it mine more Bitcoin even at a halved rate.

However, the key growth trigger is the high-performance computing business BUZZ. Its revenue surged 85% year over year in the June 2025 quarter and 100% in the March 2025 quarter. The company expects to scale this business to $100 million in annual revenue.

The increasing participation of BUZZ could drive HIVE’s stock price in the future and generate stable earnings by reducing the exposure to Bitcoin price volatility. This stock could double or even triple your money in the next three to five years as artificial intelligence (AI) applications increase.

RioCan REIT

RioCan REIT (TSX:REI.UN) is in the business of developing and leasing real estate properties, retail stores in particular. It has also expanded into RioCan Living, where it develops and sells residential properties. It pays off its construction loans from the sales proceeds. This intensification helps RioCan get better rent for its stores. It passes on the rent to its shareholders as a distribution.

Hence, the distribution amount is valued as a percentage of operating cash flow, which is currently 60.5%. As for the unit price, it is valued as the fair market value of the properties RioCan holds divided by the total number of units. The real estate investment trust reported a net gain of $15.9 million in the fair value of its investment properties.

It is a good time to buy the stock and lock in a 6.4% distribution yield. The unit has a monthly payout of $0.0965. You can also expect a capital gain as property prices increase. RioCan has an advantage in property value gain as most of its properties are located in the Greater Toronto Area.

How to allocate $200 between the two stocks

If you are a risk-averse investor seeking regular income, consider a higher allocation to RioCan REIT. If you have high risk tolerance and do not want the money for more than a year, allocate a higher amount in Hive. A 50-50 allocation is also a good option.

A $100 investment in RioCan REIT can buy you five units at $18 per unit. Considering a price range of $21-$15.5, your $100 could increase to $105 or fall to $77.5. In either case, you will get $5.77 in annual dividends. This amount may look small, but if you invest $200 every month, it could become a significant amount. Similarly, I have assumed Hive’s share price range of $2.4-$6.

The post 2 Dirt-Cheap Stocks to Buy With $200 Right Now  appeared first on The Motley Fool Canada.

More reading

• The $109,000 TFSA Benchmark: Are You Ahead or Behind?
• 5 Canadian Stocks I’d Buy for ‘Instant Income’

Fool contributor Puja Tayal has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

The year 2025 could be one of artificial intelligence (AI) and crypto stocks. Companies that have harnessed this growth potential could see a boost in demand as lower interest rates and economic recovery drive technology spending by companies and customers. The AI boom Nvidia saw was the experimental phase where companies developed and tested AI potential. Now, investors are asking for returns on their AI investments.

The growth in AI

After investing more than US$10 billion in ChatGPT creator Open AI, Microsoft is focusing on artificial generic intelligence (AGI), which it defines as something that can generate US$100 billion in profits, according to Reuters. It is looking to reduce expenses and dependence on OpenAI by using both internal and external AI models for its Microsoft 365 Copilot.

With the focus shifting to making AI affordable and reducing dependence on one company, demand for alternatives will pick up.

AMD stock

Advanced Micro Devices (NASDAQ:AMD) presents a less expensive alternative to Nvidia’s data centre graphic processing unit (GPU). Moreover, its ROCm software stack for its data centre GPUs presents an alternative to Nvidia’s CUDA. Remember, AMD is not looking to compete with Nvidia’s GPUs on the performance front. It is looking to provide a cost-effective alternative to run AI modules and applications smoothly.

AMD saw growing demand for its AI GPUs. Its data centre revenue surged 122% year-over-year to US$3.5 billion in the third quarter. It also saw an uptick in client revenue as people prepare for a Personal Computers (PC) upgrade cycle with the end of support for Windows 10.

Canalys expects demand for AI-capable PCs that can run Copilot+ to face resistance in the short term but grow in the long term. These PCs are expensive because of their hardware specifications like 40 NPU TOPS (trillions of operations per second). So far, AI PCs account for 20% of PC shipments. However, an upcoming PC upgrade cycle could drive demand for AMD’s Ryzen processor and AI-enabled PC processors.

Crypto trend

Alongside AI, momentum around crypto could build up as U.S. President Donald Trump launches the $TRUMP coin and supports crypto. Behind a crypto bubble is increasing confidence in crypto as an alternative investment. While AMD GPUs can help you ride the AI revolution, they can also benefit from a crypto bubble as miners use GPUs to mine crypto.

AMD is stock has slipped more than 26% in the last 12 months and is trading at a forward price-to-earnings (PE) ratio of 24.57 times, its lowest since September 2023. An uptick in revenue could lead to an uptick in earnings and drive its stock price.

The stock could see a cyclical uptrend, wherein the stock could double in a few months. The last two uptrend cycles from October 27, 2023 to March 8, 2024, and October 2022 to May 2023 boosted the stock price by more than 110%. Note that historical data may not determine future growth potential. However, the future growth will be driven by a sharp rise in client and data centre revenue.

Hive stock

Hive Digital Technologies (TSXV:HIVE) could also benefit from,p both AI and crypto. It is giving companies access to its GPU-powered data centres to perform high-performance computing (HPC) tasks such as AI and rendering. However, the company’s Bitcoin mining business could give investors the benefit of a rise in Bitcoin prices.

The company has shifted its headquarters to Texas to make the most of the crypto growth. It is also building a data centre in Paraguay, which could increase its revenue significantly in 2025.

If a crypto bubble materializes, Hive stock could grow 700–800% in a few months.

How to invest $3,000 in these monster growth stocks

You could consider investing $2,500 in AMD as it is relatively less risky and $500 in Hive. Before selling the stock consider reviewing its growth potential by looking at the trading volume. If it is above average and the share price is trending upwards, it hints at a bullish sentiment.  

The post Got $3,000? 2 Monster Growth Stocks to Buy Right Now Without Hesitation  appeared first on The Motley Fool Canada.

More reading

• TSX Today: What to Watch for in Stocks on Tuesday, April 7
• 1 Cheap Canadian Stock Down 66% to Buy and Hold
• When Does a Taxable Account Actually Beat a TFSA? Here’s the Answer
• 2 Canadian Stocks That Look Ready to Break Out This Year
• A 7% Dividend Stock Paying Out Monthly

Fool contributor Puja Tayal has no position in any of the stocks mentioned. The Motley Fool recommends Advanced Micro Devices, Microsoft, and Nvidia. The Motley Fool has a disclosure policy.

Crypto investors have something to cheer about as one of their supporters, Donald Trump, took the oath to become the 47th U.S. President. For years, crypto has been vying to win over investors’ confidence as an alternative investing option. However, loose regulatory ends and a highly speculative nature kept traditional investors with big pockets at bay. This scenario is about to change in the United States, and 2025 could see the formation of yet another crypto bubble. Hive Digital Technologies (TSXV:HIVE) could be the best stock to buy in January if the bubble materializes.

The best stock to buy in January

Just before Donald Trump took the oath, he launched his meme coin, $TRUMP, which soared to reach over US$10 billion in market value on January 20. His wife, Melania Trump, also launched her own cryptocurrency, $MELANIA, which crossed $1 billion in market value.

$TRUMP and $MELANIA are not exactly investments or securities but a token of support. Moreover, owing to their speculative nature, the cryptocurrency community is concerned about investing in them.

On the broader front, the Trump family’s entry into the crypto world at a time when he became the President has generated confidence among crypto investors, pushing bitcoin to a new all-time high.

What does the $TRUMP coin mean to crypto?

The last time the crypto bubble formed was from November 2020 to November 2021, and driving this trend was Elon Musk with his hype around Dogecoin. Over the years, several crypto coins have been hyped and become the mode of speculative trades. The problem with such speculative coins is they can be wealth creators and destroyers.

However, Bitcoin, the first crypto coin, has sustained all crypto bubbles and generated wealth for its investors. It is the only crypto that has received recognition from fund managers. One big milestone Bitcoin achieved in the last crypto bubble was the launch of the world’s first Bitcoin ETF. The Purpose Bitcoin ETF was launched in Canada in February 2021, and those who invested at the launch have doubled their money in almost five years.

This year, BlackRock, one of the largest investment firms, launched Bitcoin ETF iShares Bitcoin ETF.

Why Hive could be the best stock to buy in January

Feeling the momentum, HIVE went closer to where the action was. It relocated its head office from Vancouver, Canada to San Antonio, Texas.

While Bitcoin ETFs can give you exposure to Bitcoin price fluctuations, Hive can give you more than that. Bitcoin ETFs are relatively new, and their cost of buying and holding Bitcoin is high. Hive is a blockchain company and one of the earliest miners of Bitcoin. No one can take away this advantage from Hive. It has been mining Bitcoin for over a decade and enjoys a competitive hash rate. Hence, when Bitcoin prices rise, the Hive stock price grows faster than Bitcoin ETFs.

Another advantage of Hive is its three graphic processing unit (GPU) data centres in Canada, Sweden, and Iceland. It is building a fourth one in Paraguay that could significantly boost its mining capacity. The company can give you the advantage of capturing the crypto bubble rally. HIVE is diversifying its revenue stream to offer high-performance computing (HPC) capacity to earn a relatively stable source of income.

Now is a good time to invest in Hive stock while it trades below $5 and hold it till the end of the year. If all the attention to the crypto market leads to another bubble, your investment could grow 500–800%. If the hype is short-lived, at least the stock could cross the $8 mark and maybe even double your money in a few months.

Investor takeaway

The 2025 Tax-Free Savings Account (TFSA) contribution room of $7,000 gives you enough scope to invest $500 per month in your core portfolio of stocks with strong fundamentals, leaving you with $1,000 for opportunistic and riskier investments. You could consider investing $500 in Hive.

The stock trades closer to the lower end of its $4–$8 price range. The HPC computing revenue gives the stock support at $4. This reduces the risk of a downside, but the possibility of a crypto bubble creates significantly high upside potential.

The post Why Hive Could Be the Best Stock to Buy in January  appeared first on The Motley Fool Canada.

More reading

• TSX Today: What to Watch for in Stocks on Tuesday, April 7
• 1 Cheap Canadian Stock Down 66% to Buy and Hold
• When Does a Taxable Account Actually Beat a TFSA? Here’s the Answer
• 2 Canadian Stocks That Look Ready to Break Out This Year
• A 7% Dividend Stock Paying Out Monthly

Fool contributor Puja Tayal has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.