New York, June 4, 2026, 15:03 (EDT)
- ChronoScale stock climbed 17.8% to $22.43 after the company appointed Raj Jegannathan as chief technology officer and Lawrence Lam as chief product officer.
- ChronoScale made the new appointments about a month after it started trading on Nasdaq as CHRN. That followed the combination with Applied Digital’s cloud division and Ekso Bionics.
- Applied Digital and its affiliates owned roughly 97% of ChronoScale’s outstanding stock after the deal closed on May 5, according to a filing.
ChronoScale Corp surged almost 18% Thursday afternoon after the AI compute firm appointed Raj Jegannathan, a former Tesla executive, as CTO. The company also named Lawrence Lam chief product officer.
Investors got another reason to trade shares of ChronoScale, just a month after the stock started trading under the CHRN ticker. ChronoScale sells accelerated compute infrastructure, including data-center hardware for running and training artificial intelligence models. Investors are still picking through AI buildout stocks to find the winners and weaker names.
The stock last traded at $22.43, up $3.39 on the day, with shares moving between $18.00 and $22.94. Volume was roughly 429,000 shares.
ChronoScale said Raj Jegannathan worked at Tesla for over 13 years, most recently as a vice president under Elon Musk, overseeing teams focused on AI infrastructure, GPU clusters, storage, security and enterprise tech. The company also said Lawrence Lam has over two decades of cloud and AI platform experience and managed over $20 billion in AI infrastructure deployments. A GPU is a graphics processor used in AI workloads.
Chronoscale CEO Cenly Chen said the new hires bring the kind of experience needed where “performance, efficiency, and execution matter.” CTO Raj Jegannathan said firms now have to show their AI spend leads to “real-world outcomes.” Chief Product Officer Lawrence Lam said customers want integrated systems with compute, networking, storage, and operations. GlobeNewswire
ChronoScale’s trading is shaped by its capital structure. The company closed May 5 with 143.1 million shares outstanding, SEC filings show. Applied Digital Corp and its affiliates owned about 97% at that point. Using the $22.43 price, equity value comes in near $3.21 billion. Legacy stockholders kept about 3% after the deal closed.
ChronoScale came together after Applied Digital’s cloud unit merged with Ekso Bionics Holdings. Nasdaq said in a corporate-action notice that EKSO switched to CHRN as of May 5, now trading as ChronoScale Corporation.
AI infrastructure stocks traded mixed. Applied Digital slipped 0.6%. The company has a stake in ChronoScale. CoreWeave dropped 1.4%, while Nebius put on 3.5%.
Market sentiment stayed mixed. Wall Street rose on Thursday, according to Reuters, though chip stocks dragged on the Nasdaq after Broadcom’s results. “The right companies are being rewarded” in AI stocks, but the laggards are punished, Oliver Pursche of Wealthspire Advisors told Reuters. Reuters
Execution is the risk now. ChronoScale’s filings and its own release mention delays on integration after the deal, not hitting expected benefits, and questions around keeping top people. The company also lists customer concentration, cash flow, and capital access as risks. If AI compute demand falls off or if new management can’t turn technical know-how into signed capacity and steady revenue, the sharp move Thursday might leave the stock vulnerable.
