Applied Digital Corporation ( (APLD) ) has risen by 21.19%. Read on to learn why.
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Applied Digital Corporation’s stock surged 21.19% over the past week, as traders flocked to the name amid heavy options activity and renewed interest in its data-center growth story. Bullish option flow stood out, with call trading significantly outpacing puts and implied volatility staying elevated, signaling that investors are betting on continued sharp price swings ahead of the company’s January 7 earnings report. A notably low put/call ratio suggested that more traders were positioning for upside than downside in the near term.
The rally comes despite a backdrop of recent volatility and mixed sentiment around Applied Digital Corporation. Earlier weakness was tied to negative insider signals and increased insider selling, which had raised questions about management’s confidence in short‑term prospects. At the same time, analysts remain divided: revenue has been expanding, but the company is still posting net losses, leaving the market to debate whether the rapid share-price rise can be sustained.
Supporting the bullish camp, Applied Digital Corporation announced a new loan facility with Macquarie Group to fund pre‑lease development for its next wave of data centers. The financing, with an initial $100 million earmarked for projects tied to an investment‑grade hyperscaler, is designed to let the company advance new campuses while better aligning capital spending with customer demand. Combined with a strong year‑to‑date performance and a prevailing “buy” technical signal, these developments have helped fuel the latest move higher, even as options markets continue to price in sizable day‑to‑day swings.