Applied Digital Corporation (APLD) up More than 25% Since FQ1 Earnings Release

Applied Digital Corporation (NASDAQ:APLD) is one of the Hot Growth Stocks to Invest in Now. Applied Digital Corporation (NASDAQ:APLD) has surged more than 25% since the release of its FQ1 2026 results on October 9.

​The company posted a revenue of $64.22 million, up 5.79% year-over-year and ahead of the consensus by $18.75 million. Following the release on October 14, Joe Flynn from Lucid Capital initiated coverage of Applied Digital Corporation (NASDAQ:APLD) with a Buy rating and a $44 price target.

​The analyst noted they initiated coverage on 5 companies, including bitcoin miners and high-performance computing companies. The firm believes that these companies are positioned to capitalize on power shortages and other related constraints. Moreover, the firm also believes that companies like Applied Digital Corporation (NASDAQ:APLD) have interesting supply/demand dynamics and can capitalize on their ability to scale up infrastructures on accelerated timeframes.

​In addition to Lucid Capital, on October 10, John Todaro from Needham also raised the price target on the stock from $21 to $41, while keeping a Buy rating on the stock.

​Applied Digital Corporation (NASDAQ:APLD) is a technology company that designs and operates advanced digital infrastructure across North America. Its technologies focus on data centers for blockchain, high-performance computing, and AI applications.

While we acknowledge the potential of APLD as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.