Applied Digital
APLD (NASDAQ)
Applied Digital (APLD) stands out as a dynamic player in the data-center and AI sectors, recently noted for its high mid-cap trading volume on January 10. With an impressive one-year return of 391.76% and a five-year return of 687.84%, it's clear that this stock has captured investor interest, especially as it trades close to its 52-week high of $37.76. Analysts maintain a positive outlook, with a median 12-month price target of $40.00 and consistent "Buy" ratings from several firms.
Pros:
- High returns over the past year
- Strong growth in market cap
Cons:
- High volatility risk
- D+ rating from analysts
Applied Digital (APLD) may be suitable for growth-oriented investors seeking exposure to the burgeoning data-center and AI sectors, particularly those willing to accept higher volatility in pursuit of substantial returns. However, potential investors should be mindful of the absence of dividends and consider their risk tolerance in light of the stock's significant price appreciation.