New York, January 26, 2026, 10:46 a.m. (ET) — Regular session
- Applied Digital shares climbed roughly 5% in morning trading, hitting an intraday high of $41.59
- Investors remained focused on the company’s recently announced 430-megawatt Delta Forge 1 “AI Factory” project
- Traders expect the company to announce the site location in February and secure more hyperscale tenants
Applied Digital shares jumped Monday, pushing higher in a volatile streak that’s turned the data-center developer into one of the market’s most reactive AI plays. The stock rose roughly 5% to $39.59, having touched $41.59 earlier.
This move is significant as investors scramble for capacity. Data centers tailored to artificial intelligence workloads are in high demand, and securing contracts for powered sites can guarantee companies years of revenue once projects go live.
Applied Digital finds itself at the heart of that squeeze. The company is promoting “AI factory” campuses—massive, power-intensive facilities built to house dense clusters of chips—and investors have reacted to news about new construction and tenant negotiations as immediate triggers.
Last week, the company broke ground on Delta Forge 1, a campus in a “strategic southern U.S. market” planned to deliver 430 megawatts of utility power. This will support up to 300 megawatts of “critical IT load,” the energy dedicated to running servers. The first phase includes two 150-megawatt facilities across more than 500 acres, with operations set to start by mid-2027. The company also said it’s in discussions with another “investment-grade hyperscale” client. 1
Applied Digital hasn’t revealed where the site is yet. CEO Wes Cummins told The Register they plan to announce it in February, saying the delay gives the small host town time to get ready for the spotlight. The report also mentioned past projects faced local opposition. Applied Digital has inked capacity deals tied to its North Dakota campuses, including a lease with CoreWeave and a long-term lease for Polaris Forge 2 with an unnamed tenant. 2
Applied Digital posted $126.6 million in revenue for the fiscal second quarter ending Nov. 30, 2025, driven by a deeper focus on data-center hosting and expansion projects. 3
But the stock’s rise sets higher expectations. Large campuses risk stumbling over power hookups, permits, cooling infrastructure, and financing. Any hold-up — or a tenant coming on board late or using less capacity than anticipated — could quickly sour sentiment.
Investors expect the company to reveal the Delta Forge 1 site in February. They’re also waiting for more precise updates on signed leases and construction milestones that will convert announced megawatts into actual contracted revenue.
