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Applied Digital rebounds after sharp selloff as AI infrastructure demand persists
Applied Digital shares fell 26% over the past month, but the stock is up 13.0% year-to-date, alongside reported growth in long-term contracted lease value.
Applied Digital, an AI infrastructure provider that builds and operates GPU-ready data centers for hyperscalers, saw its shares swing sharply amid renewed caution on large-scale AI capital spending. According to Yahoo Finance, the stock is down 26% over the past month, but it has moved back into positive territory, up 13.0% year-to-date after a recent spike.
The report attributes the recent weakness to a broader selloff in AI infrastructure stocks and a more risk-off market tone, rather than to deterioration in the company's financial performance. It also highlights that Applied Digital's underlying business remains focused on long-term leases that generate recurring rental revenue.
Yahoo Finance says Applied Digital remains valued at $6.7 billion and recently described fiscal 2026 as a transformational year. The company signed leases covering five AI data center campuses during fiscal 2026, including three new campuses in the last four months, lifting total contracted long-term lease value to $36 billion, up 125% from fiscal 2025.
The article adds that Applied Digital has already contracted 1.41 gigawatts of critical IT load and that three newly announced Polaris Forge campuses account for roughly $20 billion in contracted lease revenue from a single hyperscale customer. It notes analysts are looking for a potential 159% upside from current levels.