Applied Digital (APLD) Soars 14.6% on AI Surge

We recently published 10 Stocks Powering Into 2026 With Explosive Gains. Applied Digital Corporation (NASDAQ:APLD) is one of the top performers on Friday.

Applied Digital rallied for a second day on Friday, surging 14.64 percent to close at $28.11 apiece as investors poured funds back into artificial intelligence players despite the lack of fresh catalysts to spark buying appetite.

In recent news, Applied Digital Corporation (NASDAQ:APLD) successfully spun off its cloud computing and data center businesses as part of its efforts to create separate platforms that would focus on its core strengths.

A rendering of Applied Digital’s Polaris Forge 2 data center in North Dakota. Photo from Applied Digital’s website

The initiative was implemented through a merger with EKSO Bionics Holdings Inc., an exoskeleton technology firm for medical and industrial uses, which will eventually be renamed ChronoScale and focus solely on an accelerated compute platform for AI workloads.

Applied Digital Corp. (NASDAQ:APLD) would own 97 percent of the combined firm, while EKSO Bionics would explore potential buyers for the sale of all or a substantial chunk of its business and assets.

“As enterprise and AI-native demand for GPU-accelerated cloud infrastructure continues to grow rapidly, the proposed transaction is intended to create a focused platform designed to deliver high-performance compute at scale in a capacity-constrained market,” Applied Digital Corp. (NASDAQ:APLD) said.

While we acknowledge the risk and potential of APLD as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than APLD and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.