Aug. 18, 2025 at 12:06 PM ET5 min read

Applied Digital’s Stock Boost: Analysts Raise Price Targets

Tim BohenAvatar
Written by Tim Bohen Reviewed by Ben Sturgill Fact-checked by Ellis Hobbs

Applied Blockchain Inc. Common Stock trading up 14.79% as positive sentiment surrounds their recent blockchain technology advancements.

Key Takeaways

  • Lake Street lifts Applied Digital’s price prediction to $18, strengthening its buy stance.
  • CoreWeave’s expansion sparks positive momentum as a new data center option is exercised.
  • Roth Capital ups its target to $24, recognizing a massive Ellendale lease deal.
  • Shares soar over 36% after fiscal gains highlight potential to outperform bearish estimates.
  • Q2 earnings top market expectations, showcasing resilience against challenging times.

Candlestick Chart

Live Update At 12:05:48 EST: On Monday, August 18, 2025 Applied Blockchain Inc. Common Stock stock [NASDAQ: APLD] is trending up by 14.79%! Discover the key drivers behind this movement as well as our expert analysis in the detailed breakdown below.

Quick Financial Overview

Applied Digital has been on the upswing, driven by several factors detailed in recent reports. Their stock saw significant increases, with recent trades closing at $16.17. On Jul 31, 2025, the company’s shares climbed more than 36%, pointing to renewed investor confidence.

The company’s Q2 earnings surpassed predictions, featuring an adjusted EPS of -3 cents against the expected -16 cents. These promising figures were complemented by revenues of $38.01M, slightly exceeding the consensus of $37.12M.

More Breaking News

Financially, the company is displaying strength, especially in managing assets, with a quick ratio standing at 3.5. Although profitability margins reflect challenges, such as a negative profit margin, the robust liquidity and successful execution of strategic projects like the Polaris Forge 1 data center represent bright spots in their financial profile. Given their valuation and revenue, the market is watching closely how management intends to tackle these hurdles.

Market Reactions: Investors Eye Data Center Expansion

The market has reacted positively to Applied Digital’s progress with CoreWeave. The completion of CoreWeave’s expanded third data center has not only boosted their capacity but also sparked talks with potential hyperscaler clients. This development is seen as a pivotal move to cement its standing in high-performance computing, further validated by CoreWeave’s new $11B lease commitment for the Ellendale project. Lake Street and Roth Capital’s revised price targets to $18 and $24 respectively, signal that analysts see further governmental or large-scale commercial engagement on the horizon, potentially elevating this once penny stock to new heights.

Competitive Pressures Mount: Can Applied Digital Maintain Momentum?

While optimism abounds, challenges are on the horizon. With the recently extended CoreWeave deal and Applied Digital’s new buy rating from Compass Point Analyst Ed Engel, the company has set ambitious targets. Yet, constant technological advancements and price setting remain pivotal in maintaining this growth trajectory amid stiff competition. To stay ahead, they must continue to capitalize on collaborations and strategic investments in projects like Polaris Forge 1, especially considering their speculative 2027 completion.

Conclusion

In summary, Applied Digital’s recent gains are a promising signal to stakeholders and potential traders. Analysts are adjusting their outlooks in response to strategic initiatives like data center expansions and the secured leases that anchor their financial forecasts upwards. As Tim Bohen, lead trainer with StocksToTrade says, “I focus on what a stock is doing, not what I want it to do. Let the stock prove itself before you make a move.” This advice is pertinent as the challenges are still present, seen in their uneven income statements and profit margins. However, with strategic adjustments, a focus on capitalizing on positive media, and improved stakeholder relationships, Applied Digital has a pathway to turn existing liabilities into lucrative opportunities. As markets continue to react to these developments, keeping an eye on their strategic advancement is paramount.

This is stock news, not investment advice. StocksToTrade News delivers real-time stock market updates tailored to highlight the key catalysts driving short-term price movements. Our coverage is designed for active traders and investors who thrive in fast-moving markets, with a focus on volatile sectors like penny stocks, AI stocks, Robinhood stocks and other momentum plays. From earnings reports and FDA approvals to mergers, new contracts, and unusual trading volume, we break down the events that can spark significant price action.

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