Applied Digital stock hits 52-week high at 29.27 USD

Applied Digital Corp’s stock reached a new 52-week high, closing at 29.27 USD. According to InvestingPro data, the stock’s technical indicators suggest overbought conditions, with the company trading at notably high EBITDA and revenue multiples. This milestone marks a significant achievement for the company, reflecting a robust 1-year change of 314.51%. The impressive growth in the stock price over the past year underscores investor confidence, with analysts revising earnings estimates upward for the upcoming period. The company’s strong performance in the digital technology sector has attracted attention, though InvestingPro analysis reveals 15+ additional key insights about the stock’s valuation and growth prospects. As Applied Digital continues to innovate and expand its market presence, the stock’s upward trajectory highlights its potential for sustained growth, with analysts setting price targets ranging from $18 to $43.

In other recent news, Applied Digital Corporation has received an initial $112.5 million from its previously announced $5 billion perpetual preferred equity financing facility with Macquarie Asset Management. This funding will support the construction of the company’s 400MW AI Factory campus in Ellendale, North Dakota, known as Polaris Forge 1, which is designed to eventually scale to a 1 gigawatt capacity. Additionally, Applied Digital has secured a new lease agreement with CoreWeave for an additional 150MW at its Polaris Forge 1 Campus, bringing the total anticipated contracted lease revenue to approximately $11 billion.

On the analyst front, Citizens raised its price target for Applied Digital to $35 from $18, maintaining a Market Outperform rating, citing recent business developments including a right of first refusal on Polaris 1 and an expected incremental lease on Polaris 2. Compass Point also increased its price target to $30 from $13, maintaining a Buy rating, due to the full leasing of Polaris Forge 1 to CoreWeave and the increased likelihood of securing a hyperscaler for Polaris Forge 2. Meanwhile, H.C. Wainwright raised its price target to $20 from $15, maintaining a Buy rating, following Applied Digital’s plans to break ground on Polaris Forge 2 near Fargo, North Dakota, with a 280MW power capacity and an estimated $3 billion construction budget. These developments reflect significant progress and interest in Applied Digital’s projects.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.