New York, Feb 7, 2026, 09:30 EST — The market is closed.
Applied Digital Corporation finished Friday’s session up 25.52%, settling at $34.95, with shares moving between $29.24 and $35.09 during regular hours. The stock slipped roughly 1% to $34.60 in the after-hours, based on delayed pricing. 1
Shares of the Nasdaq-listed data center operator are back in the spotlight for Monday, hot on the heels of a week where investors rotated out of the packed “tech and AI” plays. “What’s driven it recently has been the broadening in the market beyond just the tech, AI trade,” said Chuck Carlson, chief executive officer at Horizon Investment Services. 2
Tech and semiconductor names snapped back Friday, pushing the Philadelphia semiconductor index up 5.7% after a bruising three-day selloff. “The market looks like it was getting a bit overdone to the downside,” said Robert Pavlik, senior portfolio manager at Dakota Wealth. 3
This is crucial for Applied Digital, with investors viewing it as a leveraged bet on the ongoing surge in artificial intelligence infrastructure. The likes of Alphabet, Microsoft, Amazon, and Meta are on track to shell out over $630 billion collectively this year — a huge chunk of that aimed directly at AI, fueling a voracious appetite for energy-intensive data centers. 4
Applied Digital reported a roughly 250% jump in fiscal second-quarter revenue to $126.6 million back in January. The company, known for building HPC sites, has now leased out 600 megawatts of capacity between two North Dakota campuses. CoreWeave controls 400 MW over at Polaris Forge 1, while an unnamed U.S. investment-grade hyperscaler — that is, a major cloud player — holds 200 MW at Polaris Forge 2. All told, Applied puts its potential lease revenue at about $16 billion before any renewals. “Inbound demand has increased meaningfully,” Chairman and CEO Wes Cummins said. 5
In January, Applied Digital kicked off construction at Delta Forge 1, a 430‑MW campus located in the southern U.S., with first operations targeted for mid‑2027. “Delta Forge 1 represents the next stage of Applied Digital’s growth,” said Cummins. 6
Financing still weighs on the outlook. In a December securities filing, the company detailed a $100 million senior secured promissory note—$45 million available up front, with another $55 million possible in a second tranche. The note is set at 8% interest, paid in kind, so the interest just adds to the principal for the first year, no cash outflow. According to the filing, if the “Initial Lease Execution” doesn’t happen by April 18, 2026, the note matures on July 18, 2026. 7
The AI trade isn’t lifting all boats anymore. “I have never seen sentiment this negative in any group in my career,” wrote Michael Toomey, managing director at Jefferies, in a Reuters column this week—he called out just how rapid the software names have sold off. For Applied Digital, the stock reacts fast: delays in securing leases or capital usually hit the price almost immediately. 8
Even the promise of greater demand for compute can unsettle investors if it comes with hefty price tags. Amazon’s projection of $200 billion in capital spending for 2026 triggered a steep drop in its shares during Thursday’s after-hours session. Dave Wagner of Aptus Capital Advisors didn’t mince words, saying the market “dislikes” pouring so much cash into capex for these kinds of growth rates. 9
Applied Digital isn’t showing any events on its investor calendar right now, so traders are left scanning for filings, funding headlines, or lease moves—either from the company or its clients. The next macro data point is the rescheduled U.S. jobs report, now set for Wednesday, Feb. 11. That print tends to shake up rate bets and risk sentiment across high-beta tech stocks. 10
