Applied Digital Corporation
🔔 Watch stock
Assessment
Our Rating
A journalistic assessment by our editorial team at the time of the deep dive — it rates the company, not the entry point. Not investment advice and not a solicitation to buy or sell.
We found at least one documented issue that threatens the company itself — regardless of how the stock is currently valued.
Why this colour
If you buy the stock because of the earnings surprise, you should know that the surprise was an adjusted figure and that the GAAP statement showed $100.9 million of loss for common stockholders in the same quarter. If you stay invested, read three lines in every quarterly report (10-Q; the fiscal year ends May 31): the customer concentration (is it still three customers — and does the CoreWeave SPV pay?), the bridge from the adjusted to the GAAP number, and the share count (+27 percent over nine months). As long as operations do not themselves earn the debt service on billions of notes, the stock price hangs on the good will of the capital market — which can go well for a long time and turn quickly. The decision is yours.
What the thesis turns on
Assessment: Opportunities & Risks
Applied Digital is the rare combination of genuine substance and maximum capital market dependence: the data centers are standing, CoreWeave and an investment-grade hyperscaler have signed long-term, revenue has doubled and adjusted EBITDA is positive. At the same time, the celebrated earnings surprise comes from a non-GAAP calculation while GAAP assigned $100.9 million of quarterly loss to shareholders; three customers carry 100 percent of revenue, the share count grew 27 percent in nine months, and $6.09 billion of notes plus Macquarie preferred capital stand ahead of common stockholders in the payout order. Whoever invests here buys a construction site with first-class anchor tenants — but pays for it like a finished building. Not investment advice.
Growth & lease pipeline
Revenue up 139 percent in the quarter ended February 28, 2026 ($126.6 million) and 99 percent over nine months ($352.6 million); 550 MW leased to CoreWeave, 200 MW for roughly 15 years to an investment-grade hyperscaler, leases signed for Delta Forge 1 and 2 (10-Q as of 02/28/2026; 8-K dated 04/23 and 06/09/2026).
Access to capital
Since November 2025, $6.09 billion of project notes have been placed (9.250/6.750/7.000 percent), plus $900 million of Macquarie preferred capital within a framework of up to $5.8 billion, a $430 million revolver and $1.7 billion of cash (02/28/2026) — the build-out is funded for the visible future.
GAAP profitability
The earnings surprise (+142.9 percent per our scanner) refers to the adjusted figure (+$0.09/share); under GAAP, $100.9 million of loss fell to common stockholders in the same quarter (−$0.36/share), and the 10-K 2025 announces further net losses "for the foreseeable future" — after $45.6/$149.7/$231.1 million in fiscal years 2023–2025.
Customer concentration
Three customers generated 100 percent of revenue in the quarter ended February 28, 2026, per the 10-Q (56/30/14); the largest tenant, CoreWeave, transferred parts of its leases to a special-purpose vehicle in March 2026, secured only by a springing guaranty and a $50 million letter of credit.
Dilution & capital structure
Share count up 27 percent in nine months (224.9 to 285.4 million), a Series G conveyor belt (49.2 million new shares), a 46.1-million-share convertible overhang, $39.3 million of additional stock-based compensation in one quarter; plus capital providers with right of way: Macquarie's preferred return ($28.7 million in the quarter, $482.7 million in the future) and $2.94 billion of principal plus $1.10 billion of interest in scheduled debt service (02/28/2026).
Valuation
Roughly $12 billion of market value (07/18/2026) for about $320 to $355 million of trailing revenue — a price-to-sales ratio around 34 with no GAAP profit; property and equipment ($3.0 billion) and cash ($1.7 billion) cover less than half the market value, the rest is priced-in construction and leasing future.
Worth Noting
APLD made the research list as rank 4 of our in-house Big Earnings Surprise scanner (U.S. selection, as of July 18, 2026) — part of our series on the top 20 of that selection.
Scanner metrics (earnings surprise +142.9 percent, Piotroski 5/9, Altman-Z ~4.7, P/S ~34, 18 insider sales/0 purchases) use trailing twelve-month data as of July 18, 2026; the surprise refers to the adjusted non-GAAP earnings figure for the quarter ended February 28, 2026.
Market value (~$12.0 billion) from the July 18, 2026 feed, sanity-checked against 285.4 million shares outstanding per the quarterly report 10-Q as of February 28, 2026; analyses are evergreen, daily prices are not a buy argument.
Stock Watch
This analysis is as of August 26, 2026. Stock Watch will tell you what's changed at APLD since then.
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Price history
Chart
Interactive price chart (TradingView).
52-week range: 19.80 $ to 49.70 $ · Last price: 26.40 $ (As of: September 17, 2026)
Key figures
Key figures at a glance
Every figure we hold for this stock, grouped by topic. The question mark next to a label explains what the number means.
Basics
Performance
Technical Indicators
Calculated from the price history · as of 09/18/2026
Valuation
Profitability
Balance Sheet & Safety
Growth
Dividend
This stock currently pays no dividend.
Quality & Screener
Highlighted are things our editorial team noticed: green = stands out as strong, red = deserves a closer look. No single metric is a verdict on its own — always read it in context.
Comparison
Industry comparison
The stock alongside the largest companies in the same group. The median row is the middle value of the companies shown above — not of the whole industry.
Industry: Information Technology Services
| Company | Market cap ($B) | P/E | EV/EBITDA | Gross Margin % | EBIT Margin % | Sales Growth (Year) % | Perf. 1Y % |
|---|---|---|---|---|---|---|---|
| Applied Digital Corporation APLD | 7.8 | – | -7.4 | 25.9 | -20.5 | 57.7 | 33.0 |
| International Business Machines IBM | 212.8 | 21.3 | 16.3 | 58.1 | 13.8 | 7.6 | -5.9 |
| Accenture plc ACN | 117.9 | 15.3 | 9.0 | 32.0 | 17.0 | 7.4 | -18.5 |
| Infosys Ltd INFY | 45.0 | 13.7 | 9.0 | 29.7 | 21.2 | 4.6 | -32.7 |
| Cognizant Technology Solutions Corporation CTSH | 29.3 | 13.1 | 7.3 | 33.4 | 15.6 | 7.0 | -9.6 |
| CDW Corp CDW | 19.1 | 17.3 | 12.4 | 21.4 | 6.6 | 6.8 | -9.0 |
| Broadridge Financial Solutions Inc BR | 19.0 | 17.6 | 12.1 | 31.8 | 18.4 | 5.9 | -31.4 |
| Fidelity National Information Services, Inc. FIS | 18.8 | 7.2 | 9.6 | 35.8 | 16.4 | 5.4 | -43.7 |
| Wipro Limited WIT | 16.6 | 12.9 | 7.4 | 29.0 | 15.7 | 4.0 | -37.3 |
| Median of companies shown | 19.1 | 14.5 | 9.0 | 31.8 | 15.7 | 6.8 | -18.5 |
Based on the most recently reported figures. Only stocks from the same trading venue are lined up, so the market caps are counted in one currency. Compare in a chart →
Fiscal years
Annual Figures
Fiscal years from the audited annual reports, oldest first. EBIT is the operating profit before interest and taxes; total assets are everything the company owns.
Revenue, operating income and net income per fiscal year $M
Revenue Operating income Net income
| Fiscal Year | Revenue ($M) | EBIT ($M) | Net Income ($M) | EPS ($) | Operating Cash Flow ($M) | Equity ($M) | Total Assets ($M) |
|---|---|---|---|---|---|---|---|
| 2006 | 4 | -2 | -2 | -1.65 | -2 | 6 | 7 |
| 2007 | 2 | -3 | -3 | -2.04 | -3 | 4 | 4 |
| 2008 | 0 | -3 | -3 | -2.37 | -2 | 1 | 1 |
| 2020 | 0 | 0 | 0 | -0.17 | 0 | 4 | 6 |
| 2021 | 0 | 0 | -1 | -0.06 | 0 | -3 | 15 |
| 2022 | 9 | -21 | -24 | -0.41 | -1 | 72 | 120 |
| 2023 | 55 | -44 | -46 | -0.49 | 59 | 60 | 264 |
| 2024 | 137 | -15 | -149 | -1.31 | 14 | 125 | 763 |
| 2025 | 216 | -72 | -231 | -1.15 | -115 | 634 | 1,870 |
| 2026 | 611 | -236 | -244 | -0.89 | 90 | 1,780 | 9,929 |
Quarters
Quarterly Figures
Each bar is one quarter, the last one is the most recent. Use the switch to step through the individual figures.
Revenue & Profit
Cash Flow
Balance Sheet
Margins
Per Share
Click the chart or tab into it, then use ← and → to step through the periods.
None of the selected stocks reports this metric. Pick another metric or switch between annual and quarterly.
· Total · per year
These companies report in different currencies — switch on “Indexed” or pick a margin for a fair comparison.
The figures could not be loaded right now.
Source: fundamental data
| Quarter | EPS (Earnings Per Share) | EPS YoY (%) | Sales ($M) | Sales YoY (%) | Net Margin (%) | OCF ($M) | FCF ($M) |
|---|---|---|---|---|---|---|---|
| 2024: Q4 | -0.66 | – | 36 | -14.20 | -383.20 | -52 | -223 |
| 2025: Q1 | -0.16 | – | 53 | 22.10 | -67.20 | 6 | -252 |
| 2025: Q2 | -0.26 | – | 38 | 157.80 | -138.20 | 7 | -191 |
| 2025: Q3 | -0.07 | – | 64 | 5.80 | -26.40 | -82 | -331 |
| 2025: Q4 | -0.07 | – | 127 | 249.70 | -13.80 | -16 | -568 |
| 2026: Q1 | -0.37 | – | 127 | 139.30 | -78.40 | 55 | -720 |
| 2026: Q2 | -0.40 | -53.80 | – | – | – | 133 | 133 |
What Do These Terms Mean?
- EPS (Earnings Per Share):
- Quarterly profit divided by the total share count — how much of the profit works out to a single share.
- YoY (Year over Year):
- Change versus the same quarter a year ago — this is how you compare without seasonal distortion (e.g. the holiday shopping season).
- Sales:
- All revenue for the quarter, before any costs are deducted — the top line of the income statement.
- Net Margin:
- What percentage of sales is left over as profit in the end. Negative means the company is posting a loss.
- OCF (Operating Cash Flow):
- The cash that actually flows into the till from the core business during the quarter — harder to dress up than book profit.
- FCF (Free Cash Flow):
- Operating cash flow minus capital expenditures — the money that's genuinely free to use, say for paying down debt, buybacks, or dividends.
Screening
Appears in These Scanners
This stock currently matches 22 of our scanner strategies — each hit links to the scanner.
Growth
Quality & Balance Sheet
Breakout & Setup
Momentum & Trend
- 21-EMA Trend
- Ameet Rai: Daily Liquidity
- CANSLIM Type RS
- Gary Antonacci: Dual Momentum (Stock Adaptation)
- High ADR (≥5%)
- Kathy Donnelly: Liquid Movers Up
- Mark Minervini: Trend Criteria — 1 Month
- Mike Webster: Swing Trading List
- Oliver Kell: Strength on Down Day
- Power Trend
- RS Leader (≥90)
- Richard Moglen: Top Performers 3/6 Month
- Stan Weinstein: Stage 2
Research
Risk & Weakness
Only genuine hits from verified scanners count; pure ranking metrics (P/E, P/S, and similar, which just sort the whole universe) don't count as a hit. Scanners marked in red are red-flag signals (risk/short scanners) — appearing there is not a seal of approval. View all scanners
Outlook
Analysts & Price Target
Combined picture of the price targets and recommendations of every analyst covering the stock. Price targets are expectations for the next 12 months, not promises — and they often follow the price rather than predict it.
Distribution of Recommendations
Estimates by Fiscal Year
| Fiscal Year | EPS Estimate ($) | EPS Range ($) | Revenue Estimate ($M) | Expected Growth | Analysts |
|---|---|---|---|---|---|
| 05/31/2027 | -0.95 | -1.42 – -0.72 | 838 | -966.7% | 3 |
| 05/31/2028 | -0.25 | -1.06 – 0.47 | 1,905 | 73.8% | 3 |
Average of the analyst estimates for the coming fiscal years. The range shows how far the most optimistic and the most cautious estimate sit apart — the wider it is, the less certain the expectation.
Valuation
What is priced in?
Free cash flow over the past twelve months is negative, which rules out a serious reverse calculation. Any growth rate only makes a negative cash flow more negative; no present value comes out of it. What the price reflects here is therefore not a stream of cash flows, but the expectation that there will be one at all.
A simplified model calculation — not a forecast and not a recommendation.
AI classification
AI Rating
Geprüft am 19.07.2026 gegen die 10-K für die Geschäftsjahre 2025 (eingereicht 30.07.2025) und 2024 (30.08.2024) sowie die vier jüngsten Quartalsberichte (10-Q, zuletzt zum 28.02.2026, eingereicht 08.04.2026): KI-Infrastruktur und KI-Rechenleistung sind bei Applied Digital nachweislich Umsatzquelle, nicht bloß interner Werkzeugkasten. Erstens beschreibt sich der Konzern im 10-Q zum 28.02.2026 als Entwickler und Betreiber von Rechenzentren und Colocation-Diensten ausdrücklich „for artificial intelligence (AI), networking, and blockchain workloads“ und vermarktet die HPC-Campusse als „Polaris Forge AI Factory“; die eigens für KI-Workloads gebauten HPC-Rechenzentren sind an den KI-Cloud-Anbieter CoreWeave verleast (250 MW ab 28.05.2025, +150 MW ab 28.08.2025, insgesamt 400 MW unter Vertrag laut 10-Q) und erlösten im Quartal zum 28.02.2026 71,0 Mio. US-Dollar (56 % des Konzernumsatzes). Zweitens verkaufte die Cloud-Sparte bis zu ihrer Einbringung in ChronoScale (Closing 05.05.2026) direkt KI-Rechenleistung: laut 10-Q „high-performance computing power for artificial intelligence and machine learning applications“ mit 18,1 Mio. US-Dollar Quartalsumsatz (14 % des Konzernumsatzes). Der 10-K FY2025 ordnet das Geschäft denselben Märkten zu (Datacenter-Infrastruktur für HPC und AI, Item 1). Nach der Vorrang-Regel gewinnt „Verkauft KI“ vor allen anderen Kategorien; das parallel fortgeführte Krypto-Hosting (30 % des Umsatzes) ändert daran nichts.
View the full file — quotes, sources, reviewed filings
„We are a U.S. designer, developer, and operator of high-performance, sustainably engineered data centers and colocation services for artificial intelligence (“AI”), networking, and blockchain workloads. Headquartered in Dallas, TX, and founded in 2021, the Company combines hyperscale expertise, proprietary waterless cooling, and rapid deployment capabilities to deliver secure, scalable compute at industry-leading speed and efficiency, while creating economic opportunities in underserved communities through its award-winning Polaris Forge AI Factory model."
Wir sind ein US-amerikanischer Entwickler, Erbauer und Betreiber von leistungsstarken, nachhaltig konstruierten Rechenzentren und Colocation-Diensten für Künstliche-Intelligenz-(KI-), Netzwerk- und Blockchain-Workloads. Mit Hauptsitz in Dallas, Texas, und gegründet 2021, verbindet das Unternehmen Hyperscale-Expertise, proprietäre wasserlose Kühlung und schnelle Bereitstellung, um sichere, skalierbare Rechenleistung mit branchenführender Geschwindigkeit und Effizienz zu liefern — und schafft dabei über sein preisgekröntes Polaris-Forge-KI-Fabrik-Modell wirtschaftliche Chancen in unterversorgten Regionen.
10-Q · 2026-04-08 · View SEC filing
„Our Cloud Services Business provides high-performance computing power for artificial intelligence and machine learning applications. We recognized revenue of $18.1 million and $53.2 million from this business segment during the three and nine months ended February 28, 2026, respectively."
Unser Cloud-Services-Geschäft stellt Hochleistungs-Rechenleistung für Anwendungen der Künstlichen Intelligenz und des maschinellen Lernens bereit. Aus diesem Geschäftssegment erfassten wir im Dreimonats- bzw. Neunmonatszeitraum zum 28. Februar 2026 Umsatzerlöse von 18,1 Millionen bzw. 53,2 Millionen US-Dollar.
10-Q · 2026-04-08 · View SEC filing
„These facilities are being designed and purpose-built to host high-density graphics processing unit architecture or other HPC applications, such as artificial intelligence, natural language processing, machine learning, and additional HPC developments."
Diese Anlagen werden eigens dafür entworfen und gebaut, hochdichte Grafikprozessor-Architekturen oder andere HPC-Anwendungen zu beherbergen — etwa Künstliche Intelligenz, natürliche Sprachverarbeitung, maschinelles Lernen und weitere HPC-Entwicklungen.
10-Q · 2026-04-08 · View SEC filing
Rated on July 19, 2026 · How the Rating Is Built
Growth
Growth Score
Ten checks against the annual reports — each one passed counts a point.
- Revenue grows by more than 15% a year over three years 122.6%
- More than 10% revenue growth is expected for the coming year 75.3%
- Share count grows by less than 3% a year 43.1%
- Revenue growth plus cash-flow margin add up to at least 40 ("Rule of 40") -270.5%
- Gross margin at 40% or higher and without meaningful erosion 25.8%
- Goodwill from acquisitions does not grow faster than revenue 0.6%
- Net debt below twice EBITDA failed
- Operating cash flow covers the profits of the last three years 612 m
- Return on capital at 15% or higher, or up versus two years ago -2.7%
- Insiders hold at least 10% or are net buyers 11.1%
A criterion without figures counts neither as passed nor as failed; a score is only produced from 7 judgeable criteria upwards. Source: fundamental data. All ten criteria in detail
Quality check
AAQS
4/10The AAQS (AlleAktien Quality Score) checks 10 quality criteria on growth, profitability, and balance-sheet strength — per the methodology developed and published by AlleAktien, calculated by us from our own fundamental data. A stock counts as a quality stock from 9 out of 10 points. Where a company has a shorter listing history, we calculate over the fiscal years available (at least five).
- Sales growth 10Y > 5% 28.8%
- Exp. sales growth 3Y > 5% 76.5%
- EBIT growth 10Y > 5% –
- Exp. EBIT growth 3Y > 5% 76.5%
- Net debt < 4x EBIT –
- EBIT positive, 10Y straight –
- Max. EBIT decline < 50% –
- Return on equity > 15% -14.1%
- ROCE > 15% -2.7%
- Expected return > 10% 13.5%
View stocks with the full AAQS score · Read the methodology at AlleAktien
Source: fundamental data
Insiders
Insider Transactions
Reportable transactions by officers and major shareholders from SEC Form 4 filings. "Other" includes things like stock grants and option exercises without a buy/sell character.
| Date | Person | Role | Type | Shares | Price | Value |
|---|---|---|---|---|---|---|
| Sep 12, 2026 | Zhang Jason Gechen | President | Other | 49,188 | 26.42 | 1,299,547 |
| Aug 4, 2026 | Nottenburg Richard N | Director | Sell | 75,000 | 31.15 | 2,336,250 |
| Aug 4, 2026 | Mohmand Mohammad Saidal LaVanway | Chief Financial Officer | Other | 13,408 | – | – |
| Aug 4, 2026 | Cummins Wes | CEO; Chairman | Other | 714,685 | – | – |
| Jul 31, 2026 | Laltrello Laura | Chief Operating Officer | Other | 260,640 | 27.39 | 7,138,930 |
| Jul 31, 2026 | Laltrello Laura | Chief Operating Officer | Other | 600,000 | – | – |
| Jul 31, 2026 | Zhang Jason Gechen | President | Other | 236,100 | 27.39 | 6,466,779 |
| Jul 31, 2026 | Zhang Jason Gechen | President | Other | 600,000 | – | – |
| Jul 31, 2026 | Mohmand Mohammad Saidal LaVanway | Chief Financial Officer | Other | 96,408 | 27.39 | 2,640,615 |
| Jul 31, 2026 | Mohmand Mohammad Saidal LaVanway | Chief Financial Officer | Other | 245,000 | – | – |
The company
About the Company
Applied Digital Corporation entwirft, entwickelt und betreibt Lösungen für digitale Infrastruktur für die Branchen High-Performance-Computing (HPC) und künstliche Intelligenz in Nordamerika. Es ist in den Geschäftsfeldern Data Center Hosting und HPC Hosting tätig.
- Employees
- 256
- Headquarters
- Dallas, TX
- Address
- 3811 Turtle Creek Boulevard, 75219 Dallas, United States
- Phone
- 214 427 1704
- Website
- applieddigital.com
- IPO Date
- 07/22/2002
- ISIN
- US0381692070
- Stock Split
- 1:6 on 04/13/2022
Management
| Name | Title | Birth Year |
|---|---|---|
| Wesley Cummins | Chairman, CEO, Secretary & Treasurer | 1978 |
| Mohammad Saidal L. Mohmand | Chief Financial Officer | 1991 |
| Laura Laltrello | Chief Operating Officer | 1974 |
| Jason Zhang | Co-Founder & President | 1993 |
| Mark Chavez | Chief Compliance Officer & General Counsel | – |
| Nick Phillips | Executive Vice President of External Affairs | – |
| Erin Gracey Kraxberger | Chief Marketing Officer | – |
| Todd Gale | Chief Development Officer | – |
Executives per the latest required filings; titles kept in their original language. Source: fundamental data.
Filings
Company Filings (8-K)
An 8-K is the filing a US company must use to disclose material events immediately — takeovers, changes at the top, major contracts or payment troubles, for instance. The links open the original document at the US Securities and Exchange Commission (SEC).
- 07/27/2026 Applied Digital Corp. (APLD): Results of Operations and Financial Condition; Financial Statements and Exhibits SEC ↗
Data as of: September 17, 2026 · Source: fundamental data & SEC filings (annual and quarterly reports, 10-K/10-Q)
Note: pure fact-based analysis, not investment advice and not a solicitation to buy or sell. All figures without guarantee.