Applied Digital (NASDAQ:APLD) Trading Up 8.1% – Here’s Why

10 Jan 2026, 15:34 by Doug Wharley · The Cerbat Gem

Applied Digital Corporation (NASDAQ:APLD – Get Free Report) was up 8.1% on Thursday . The stock traded as high as $35.50 and last traded at $31.94. Approximately 90,891,542 shares changed hands during mid-day trading, an increase of 92% from the average daily volume of 47,216,582 shares. The stock had previously closed at $29.56.

Trending Headlines about Applied Digital

Here are the key news stories impacting Applied Digital this week:

Positive Sentiment: Company delivered a blowout Q2: revenue jumped ~250% YoY to ~$126.6M driven by Polaris Forge 1 ramp and HPC tenant fit-outs; management disclosed a large lease pipeline and multi-year contracts that underpin long-term growth. Applied Digital beats quarterly revenue estimates on AI data center demand, shares jump
Positive Sentiment: Multiple bullish analyst moves: Arete Research initiated coverage with a Buy and $99 price target (large bullish signal), Freedom Capital initiated a Buy ($36 PT) and Needham reiterated Buy ($41 PT) — these upgrades and high targets amplify buying interest. Arete Research Initiates Applied Digital (APLD) with $99 PT, Buy Rating
Positive Sentiment: Market commentary highlights accelerating momentum: analysts and outlets point to a growing backlog (reported ~$15B), plans to add ~900 MW of capacity, a goal of $1B NOI over coming years, and potential new hyperscaler customers — all supportive of higher future cash flows. Applied Digital Reignites Momentum After a Blowout Quarter
Positive Sentiment: Press coverage flags an impending hyperscaler lease and continued AI demand as near-term catalysts that could drive additional revenue and give the stock more upside. Applied Digital Teases New AI Hyperscaler Customer in 2026. The Stock Rises.
Neutral Sentiment: Detailed company disclosures and the full Q2 earnings/call transcript are available for investors evaluating execution, margin trends and cadence of lease signings. Review the transcript for operator commentary and guidance signals. Applied Digital Corporation (APLD) Q2 2026 Earnings Call Transcript
Negative Sentiment: GAAP/profitability caveats: higher costs dragged reported EPS below consensus (company reported a loss per share vs. mixed adjusted metrics), with negative net margin and negative ROE on a GAAP basis — investors should watch margin recovery and cash flow conversion. Applied Digital’s Q2 Earnings Miss Estimates, Revenues Rise Y/Y

Analyst Ratings Changes

Several research firms have weighed in on APLD. Northland Securities reissued an “outperform” rating and issued a $40.00 target price on shares of Applied Digital in a report on Tuesday, December 30th. Lake Street Capital reissued a “buy” rating and issued a $45.00 price objective on shares of Applied Digital in a research note on Tuesday, December 30th. Weiss Ratings restated a “sell (d-)” rating on shares of Applied Digital in a report on Wednesday, October 8th. Roth Capital upped their price target on shares of Applied Digital to $58.00 and gave the company a “buy” rating in a report on Thursday. Finally, Craig Hallum increased their price target on shares of Applied Digital to $39.00 and gave the company a “buy” rating in a research report on Thursday, October 23rd. Two research analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Buy” and a consensus price target of $33.27.

Check Out Our Latest Stock Report on APLD

Applied Digital Trading Up 18.0%

The company has a debt-to-equity ratio of 0.29, a current ratio of 0.65 and a quick ratio of 0.65. The firm has a market cap of $10.52 billion, a price-to-earnings ratio of -69.78 and a beta of 6.89. The business’s 50-day moving average price is $27.33 and its two-hundred day moving average price is $21.75.

Applied Digital (NASDAQ:APLD – Get Free Report) last announced its earnings results on Wednesday, January 7th. The company reported ($0.11) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.09) by ($0.02). The firm had revenue of $126.59 million for the quarter, compared to analyst estimates of $82.22 million. Applied Digital had a negative return on equity of 17.52% and a negative net margin of 43.49%.The firm’s revenue was up 250.1% compared to the same quarter last year. During the same quarter last year, the business posted ($0.06) EPS. Equities analysts expect that Applied Digital Corporation will post -0.96 earnings per share for the current year.

Insiders Place Their Bets

In related news, Director Richard N. Nottenburg sold 9,375 shares of the company’s stock in a transaction on Friday, October 31st. The stock was sold at an average price of $35.91, for a total value of $336,656.25. Following the completion of the transaction, the director directly owned 249,237 shares in the company, valued at approximately $8,950,100.67. This represents a 3.63% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Rachel H. Lee sold 24,213 shares of Applied Digital stock in a transaction dated Friday, October 24th. The shares were sold at an average price of $33.20, for a total value of $803,871.60. Following the completion of the sale, the director owned 59,400 shares of the company’s stock, valued at $1,972,080. This trade represents a 28.96% decrease in their position. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have sold 328,035 shares of company stock valued at $11,376,479. 9.50% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Applied Digital

Several institutional investors and hedge funds have recently bought and sold shares of the stock. Hood River Capital Management LLC grew its stake in shares of Applied Digital by 2.8% during the 2nd quarter. Hood River Capital Management LLC now owns 21,859,031 shares of the company’s stock valued at $220,120,000 after buying an additional 592,314 shares during the period. Vanguard Group Inc. boosted its holdings in Applied Digital by 23.2% in the third quarter. Vanguard Group Inc. now owns 17,722,174 shares of the company’s stock valued at $406,547,000 after acquiring an additional 3,339,062 shares during the last quarter. Situational Awareness LP grew its position in Applied Digital by 63.3% during the second quarter. Situational Awareness LP now owns 6,591,800 shares of the company’s stock valued at $66,379,000 after acquiring an additional 2,556,200 shares during the period. BNP Paribas Financial Markets grew its position in Applied Digital by 24,356.8% during the second quarter. BNP Paribas Financial Markets now owns 5,219,565 shares of the company’s stock valued at $52,561,000 after acquiring an additional 5,198,223 shares during the period. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its stake in Applied Digital by 20.2% during the third quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 3,199,135 shares of the company’s stock worth $73,388,000 after acquiring an additional 537,839 shares during the last quarter. Institutional investors and hedge funds own 65.67% of the company’s stock.

About Applied Digital

(Get Free Report)

Applied Digital (NASDAQ: APLD) is a technology company specializing in the development and operation of large-scale digital infrastructure and sustainable Bitcoin mining solutions. Through its integrated platform, the company designs, builds and manages turnkey data center facilities while also providing comprehensive hosting services for cloud, colocation and enterprise computing needs. Applied Digital’s modular approach to facility design enables rapid deployment of capacity and streamlined integration of power, cooling and network connectivity.

In addition to its data center business, Applied Digital operates a network of Bitcoin mining sites that leverage vertically integrated capabilities, including hardware procurement, mining farm engineering, energy management and real-time performance monitoring.