Why Applied Digital Stock Is Skyrocketing Today
Applied Digital (NASDAQ: APLD) stock is surging higher in Friday's trading. The data center company's share price was up 13.6% as of 10:30 a.m. ET against the backdrop of a 0.6% decline for the S 500 index and a 0.7% pullback for the Nasdaq Composite index.
Applied Digital is posting big gains today following comments made by Nvidia CEO Jensen Huang. In a prerecorded interview, Huang said that investors had gotten the wrong conclusions about the DeepSeek artificial intelligence (AI) model that shook up the market last month.
The DeepSeek R-1 model caused massive sell-offs for Nvidia and other AI stocks last month because investors believed the software proved that powerful artificial intelligence (AI) software could be built and run with far less powerful hardware than previously anticipated. Applied Digital is a data center specialist focused on providing computing services for AI applications, so this had big implications for the company.
Source Fool.com
