10 Stocks Facing Selling Pressure Ahead of Christmas

2. Applied Digital Corp. (NASDAQ:APLD)

Applied Digital nosedived for a fourth consecutive day on Monday, slashing 17.52 percent to close at $22.98 apiece as investors took path from a broader market pessimism amid fresh AI bubble worries.

The stock declined alongside its high-performance computing (HPC) counterparts, dragged down by increasing concerns about technology giants’ heavy spending on AI, particularly on how quickly they would be able to recoup their investments.

Last week alone, technology giant Oracle Corp. announced that its debt had ballooned to $108 billion, as it continues to ramp up its spending on AI.

Similarly, Applied Digital Corp. (NASDAQ:APLD) is spending heavily on AI, supported by a flurry of data center leasing deals with hyperscalers.

This year alone, Applied Digital Corp. (NASDAQ:APLD) entered into multiple credit facilities to raise billions of dollars to fund the development of its HPC campus pipelines.