NEW YORK, Jan 2, 2026, 14:15 ET — Regular session
Applied Digital Corp shares jumped 15.4% on Friday, as the data-center operator extended a sharp rally into the first full trading week of 2026. The stock was up $3.77 at $28.29, after trading between $24.65 and $28.36.
The move comes days after Applied Digital said it plans to spin out its cloud computing business and combine it with EKSO Bionics Holdings to form a new AI-focused platform called ChronoScale. Applied Digital, based in Dallas, describes itself as a builder and operator of high-performance data centers and colocation facilities for AI, cloud and blockchain workloads.
Attention is also building ahead of the company’s fiscal second-quarter results, which are expected after the market closes on Jan. 7, according to Nasdaq. The update is the next near-term checkpoint for demand, build-out timelines and cash use across its data-center and cloud operations.
In an exhibit filed with regulators, Applied Digital said the deal is intended to create an “accelerated compute” platform built around GPUs, or graphics processing units used to train and run AI models. “ChronoScale is intended to bring together a proven operating platform and a clear mandate: deliver accelerated compute at scale for the most demanding AI workloads,” Chief Executive Wes Cummins said. SEC
Applied Digital said its cloud unit was among the first platforms to deploy Nvidia’s H100 GPUs at scale in 2023 and generated about $75.2 million of revenue in the 12 months ended Aug. 31, 2025.
EKSO said the term sheet — a non-binding outline of deal terms — would leave Applied Digital owning about 97% of the combined company at closing, with the split potentially diluted by any equity financing tied to the transaction. EKSO added that closing would depend on due diligence, final documents, regulatory reviews and shareholder approvals, and warned there is no assurance the deal will be completed.
Applied Digital has scheduled its earnings conference call for 5 p.m. ET on Jan. 7, the company said. Management is expected to give prepared remarks followed by a question-and-answer session.
Wall Street expects a quarterly loss of about 10 cents per share on revenue of roughly $82.2 million, according to MarketBeat’s compilation of analyst estimates. Investors will be listening for any commentary on customer demand, project timing and capital spending.
Recent analyst notes have kept bullish targets in view. Northland Capital Markets analyst Mike Grondahl reiterated an “Outperform” rating with a $40 target, while Lake Street’s Rob Brown maintained a “Buy” rating and a $45 target, Benzinga reported. Benzinga
The move also stood out against a softer tape, with the Invesco QQQ Trust down about 0.4% and the SPDR S&P 500 ETF edging lower. Shares of Vertiv, a supplier of data-center power and cooling equipment, were up about 7.6%.
Applied Digital was also among the notable gainers in premarket trading as U.S. futures rose, Barron’s reported earlier on Friday.
APLD remains below its 52-week high of $40.20 and well above its $3.31 low, Nasdaq data show. Traders are watching whether the shares can hold above the mid-$20s and make another run at the $30 level.
Beyond earnings, investors will look for timelines and financing plans tied to the proposed ChronoScale transaction and for any indication it is moving from a term sheet to a binding agreement. Any delays, added dilution or changes to the deal terms could quickly feed back into the stock’s volatility.
