Undervalued Data Center Play with APLD
"Apply digital, ticker symbol APLD. Data center compute demand is not going anywhere but up in my view, but APLD stock has been sold off so aggressively, it's ridiculous. I believe the bears are simply wrong here, and I believe there's going to be a big arbitrage opportunity soon. We screamed it as a buy last time short sellers dumped on it. At the time, the stock was at $453, an obvious buy, and now we're back in the low 20s with the same narrative repeating."
The speaker argues that APLD is attractively undervalued despite a steep sell-off, dismissing bearish sentiment and emphasizing the strong underlying demand for data center compute capacity. The recommendation is to capitalize on what is seen as an arbitrage opportunity as the stock rebounds from its current low levels.
APLD Technical Rebound Play
"APLD data center play is finally taking a much needed breathing cycle. How far will she drop? Well, in case A, we see a continued slump to $20 and then a rebound back through previous resistance levels and slowly up to previous cycle highs. In case B, we see an even further dump to $12 previous channel highs and a resurgence. In case C, we see a more immediate bounce back coming in the next few trading sessions. As a long-term play, we are happy with all potential cases given, but understand that bigger dips can be even better opportunities for better deals."
The speaker discusses the technical setup for APLD in its data center play, outlining various scenarios from a deeper dip to an immediate bounce. The long-term view remains positive, suggesting that larger dips may offer better entry points.
Trade Call on Applied Digital
"The last stock to look at to add to your portfolio that could potentially surpass your full-time job is Applied Digital. I told my Discord to get in last summer when the stock was $5, and I got in originally when it was around $4 to $5. Now the stock is well into the $30 range. Looking at the technical chart, my AVP for Applied Digital is between $22 and $27, and I would be looking to buy in that range. They recently picked up an eight-plus billion dollar contract for server rental space, and if the stock breaks above key resistance levels, it could potentially reach $40 by the end of the year and even higher in the future."
The speaker makes a trade call on Applied Digital based on strong technical analysis and significant catalysts, including a major contract in server rental space and the promising AVP range between $22 and $27. The recommendation emphasizes a dollar-cost averaging strategy and identifies key price levels that could lead to further upside, making it a compelling medium-term trade.
APLD as a Great Hold Amid Rapid Run-Up
"APLD has been a favorite since its low of $453 and went on a beautiful run to $40.20 at highs. However, our price target posted earlier at just over $93 for 2028 seems too far away after its rapid climb. I see the longer-term, bigger picture and believe it has the potential to more than double over the next few years, but for now, it's a great hold rather than the best deal in the market."
The speaker discusses APLD's impressive run from its low and notes that its rapid climb has brought it too close to its long-term price target, making it a hold rather than an immediate buy. Long-term potential remains intact, but short-term expectations are tempered.
Buy Call on APLD
"So, lets go ahead and start with APLD. So, on April 24th, we made a video explaining why data center small cap APLD is a buy, and weve made countless videos on it since then, breaking it down as a buy, and it just hit new highs Friday morning at $39.7. The stock is now within spitting distance of a 10x, which weve long said was a strong possibility. And actually, if you go and you pull up our price target forecast from the Discord that we put out back in June, we broke down the math for this stock getting to $93.30 a share by 2028."
The speaker presents a strong buy call on APLD, a data center small cap stock. He emphasizes that the stock has hit new highs, is nearing a 10x move, and cites a detailed price target forecast of $93.30 by 2028 as evidence of considerable upside potential.
Applied Digital Earnings Boost Drives Pre-Market Rally
"Applied digital up 22% in the pre-market trade. This comes after earnings where their revenue did beat estimates, and they also had some positive details about expanding a lease agreement with Core Weave for additional compute. They are in advanced discussions to build and focus on a data center campus in North Dakota."
The commentary describes a robust pre-market rally for Applied Digital, with shares up 22% following strong earnings and significant developments on a lease agreement with Core Weave. The focus on establishing a data center campus in North Dakota adds positive catalyst potential.