Skip to navigationSkip to main contentSkip to right columnADVERTISEMENTNeha GuptaTue, August 4, 2026 at 6:41 PM GMT+2 5 min readApplied Digital Corp (NASDAQ:APLD)'s transformation from a crypto-mining/data-center hosting company to an AI infrastructure provider is beginning to reflect in its earnings. The company is enjoying robust growth fueled by rapid conversion of its data center footprint into artificial intelligence and high-performance computing infrastructure. Likewise, hyperscaler leases and tenant buildout are increasingly driving near-term revenue growth.Shares have gained more than 20% year to date, with the stock remaining volatile and below some of its recent highs. The market is particularly focused on the company's execution, financing, profitability, and timing of future cash flows. Sentiment and outlook for the stock are slowly changing, triggering prospects of a potential breakout after months of underperformance.Applied Digital's Improving FundamentalsRobust revenue growth affirms why Applied Digital Corp (NASDAQ:APLD) is a compelling investment play on improving underlying fundamentals. The company delivered fiscal fourth quarter 2026 revenue of $258.7 million, up 407% year over year and topping estimates of $94.8 million. Similarly, full-year revenue was up 167% to $611.3 million. Adjusted earnings per share came in at $0.04 above expectations of a $0.22 loss.Applied Digital Corp (APLD)’s 400% Revenue Surge — Breakout AI Infrastructure Play or Risky Bet?The 407% revenue growth suggests the company is no longer a future AI story but a company that's converting data center capacity into sales. The growth has come as the company shifts toward building large, power-dense data centers that it leases to hyperscalers and AI cloud companies, thereby securing key revenue streams.The Data Center Hosting segment generated $38 million in revenue in Q4 FY2025. Revenue in the segment increased to $203 million as of Q4 FY2026, suggesting new leases are becoming bigger than Traditional Data Center Hosting, which was essentially flat at $37.3 million.Applied Digital's signing long-term hyperscaler leases, including a $7.5 billion deal at its Delta Forge 1 campus, underscoring the company's ability to secure deals that bolster revenue streams as AI infrastructure assets move into operation. It has also inked a long-term lease with CoreWeave for its Polaris Forge campus, securing roughly $7 billion of contracted revenue over about 15 years.In addition, it has approximately 1.4 GW in contracted critical IT capacity and $36 billion of contracted base-term lease revenues. Spread across five AI factory campuses, the base-term lease revenue provides greater revenue visibility than a typical data-center developer.Terms and Privacy PolicyEU DSA contactPrivacy & Cookie SettingsMore Info