Shares shifted sharply as Digi Power X (DGXX) dropped 11.5% to $3.66 ahead of its Q2 2026 results, scheduled for release this morning with a conference call at 8:30 a.m. ET. The sell-off arrives at a critical juncture: the former crypto miner is betting its entire future on becoming an AI data-center landlord, but investors are clearly nervous about whether the company's ambitious contracts can translate into real revenue before its cash — and its shareholders' patience — run out.

  • The AI Pivot Looks Big on Paper but Hasn't Produced Much Revenue Yet

Digi Power X has made a strategic pivot from cryptocurrency mining to AI computing and colocation services, with its first AI revenue from its cloud computing rental business commencing only in May 2026.

Q1 2026 revenue was just $6.8 million — down from $9.3 million a year earlier — as legacy mining wound down. Analysts expect roughly $8.48 million in Q2 revenue and a $0.05-per-share loss. Until the AI business scales, top-line numbers will look underwhelming against the company's lofty promises.

  • A $1.1 Billion Contract Anchors the Bull Case — With a Catch

Digi Power X signed a 10-year deal with AI chip maker Cerebras Systems to build a 40-megawatt data center campus in Alabama.

The initial term is worth roughly $1.1 billion, with a ceiling of $2.5 billion including renewals. But revenue isn't expected to start flowing until late 2026, with full ramp targeted for Q1 2027. Today's call needs to show construction is on schedule; any slippage would undermine the entire thesis.

  • Dilution Is the Price Tag for Growth

The company expanded its at-the-market equity program — a tool that lets it sell new shares directly into the open market — to $175 million, and already issued roughly 20 million new shares for about $103 million.

Shareholders have been diluted by 91% in the past year. That's an enormous expansion of the share count, and it means even if revenue surges, each existing shareholder owns a much smaller slice of the pie.

  • The Stock Has Given Back Most of Its AI-Hype Rally

The 52-week range spans $1.86 to $9.20 , and at $3.66 the stock sits far closer to its low. DGXX ran from roughly $2.30 to above $5.80 in weeks after the Cerebras deal in May, but has since surrendered most of those gains. The market cap hovers around $412 million — a steep valuation for a company with single-digit-million quarterly revenue. Today's earnings call is a make-or-break moment: proof of construction progress and early AI bookings could stabilize the stock, while vague timelines or further capital raises would likely send it lower.