Applied Digital (APLD) Stock Jumps 4% After Revenue Triples Estimates

TLDR

• Applied Digital’s fiscal Q1 revenue jumped 322% year-over-year to $341.9 million, smashing Wall Street’s estimate of around $134 million.
• The stock fell about 6% during Wednesday’s regular trading before reversing to climb roughly 4% in after-hours action.
• GAAP net loss widened to $221 million, or $0.76 per share, but the adjusted loss of $0.01 per share beat expectations for a $0.26 loss.
• Applied Digital now has 1.41 gigawatts of contracted data center capacity across five campuses, worth about $36 billion in future revenue.
• The company is expanding into Finland and struck a Microsoft deal through its ChronoScale unit, while analysts hold a Strong Buy rating with a $60.07 average price target.

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Applied Digital stock swung hard on Wednesday. The data center company first fell about 6% during regular trading, then reversed and climbed roughly 4% after hours once investors digested its fiscal first-quarter results.

Applied Digital Corp., APLD

The headline number was revenue. It came in at $341.9 million, up 322% from $80.9 million a year ago.

That blew past Wall Street’s forecast of around $134 million. Analysts had not expected the jump to be this steep.

On the bottom line, the picture is messier. Net loss attributable to common stockholders widened to $221 million, or $0.76 per share, compared to $18.5 million, or $0.07 per share, a year earlier.

Adjusted for one-time items, the loss was just $0.01 per share. That easily topped expectations for a $0.26 loss.

Applied Digital, $APLD, Q1-27.

AI-factory revenue exploded, but the buildout remains brutally capital-intensive.

🟢 Revenue: $341.9M vs ~$135M est.
🟢 Adj. EPS: -$0.01 vs -$0.30 est.
📜 Contracted revenue: ~$36B
🏗️ Property/equipment spend: $2.07B pic.twitter.com/bNInB0mMKe

— EarningsTime (@Earnings_Time) October 7, 2026

Total costs and expenses jumped to $404.3 million from $90.7 million a year ago. The company pointed to higher spending on getting data centers ready for customers, along with rising stock-based compensation and interest expenses.

HPC Hosting, the segment that rents out high-performance computing capacity, brought in $262.6 million during the quarter. That segment is becoming the backbone of the business.

As of August 31, Applied Digital held $3.7 billion in cash and restricted cash. It also carries $6.4 billion in debt.

CEO Wes Cummins said the company is “building for the long term,” pointing to large-scale AI campuses and contracts with investment-grade hyperscalers.

Data Center Expansion Continues

Applied Digital’s contracted pipeline now covers 1.41 gigawatts of critical IT load across five campuses. That represents close to $36 billion in contracted revenue over the life of those leases.

Its North Dakota site, Polaris Forge 1, delivered another 75 megawatts in July and a further 75 megawatts after the quarter closed. That brings operational capacity there to 250 megawatts.

The company expects Polaris Forge 2 to begin contributing soon, which would push total North Dakota capacity to 300 megawatts before year-end.

New Markets and Partnerships

Applied Digital is also looking beyond the United States for the first time. It recently secured access to up to one gigawatt of potential power capacity in Finland.

Back home, it signed a power purchase agreement tied to a planned 1,200-megawatt natural gas plant in North Dakota, giving it another electricity source for future projects.

ChronoScale, the cloud unit Applied Digital still owns about 96% of, announced a deal with Microsoft for a 50-megawatt AI compute deployment using Nvidia’s GB300 NVL72 systems.

Wall Street remains upbeat on the stock. Of 9 analysts covering APLD over the past three months, 7 rate it a buy and 2 are neutral, adding up to a Strong Buy consensus.

The average price target sits at $60.07, implying roughly 152% upside from Wednesday’s closing price.