14 Best Growth Stocks Under $10 to Buy Right Now

Page 6 of 12

7. Applied Digital Corporation (NASDAQ:APLD)

Stock price as of May 2nd: $5.30

Revenue CAGR last 5 years: 186.71%

Number of Hedge Fund Holders: 42

Applied Digital Corporation (NASDAQ:APLD) develops and operates next-generation digital infrastructure across North America. The company offers infrastructure services to crypto mining customers and GPU computing solutions for critical workloads related to AI, machine learning, and other high-performance computing tasks.

Applied Digital Corporation (NASDAQ:APLD) currently operates 286 megawatts of fully contracted data center hosting capacity for cryptocurrency clients across 2 locations in North Dakota, running at full capacity. The company has secured significant financial partnerships, including a potential $5 billion investment from Macquarie Asset Management for next-generation data center development and a $375 million financing arrangement with Sumitomo Mitsui Bank Corporation. Construction of the Ellendale campus remains on schedule, with the first 100-megawatt building expected to generate revenue in calendar Q4 2025, followed by a 150-megawatt second building in Q2 2026, and a third 150-megawatt building planned for Q1 2027.

Applied Digital Corporation (NASDAQ:APLD) has announced plans to review strategic options for its Cloud Services Business, which provides high-performance computing power for AI applications. This decision is driven by potential customer concerns about competition and the possibility of transitioning to a data center REIT structure in the future. Financially, the company reported Q3 2025 revenues of $52.9 million, up 22% over the prior comparable period, with the Data Center Hosting segment generating $35.2 million and Cloud Services contributing $17.8 million. The increased attention and investments from hedge funds and leading financial institutions reinforce our conviction that APLD is one of the best growth stocks to consider under $10.

Page 6 of 12