About Us

Laser Focus World is an industry bedrock—first published in 1965 and still going strong. We publish original articles about cutting-edge advances in lasers, optics, photonics, sensors, and quantum technologies, as well as test and measurement, and the shift currently underway to usher in the photonic integrated circuits, optical interconnects, and copackaged electronics and photonics to deliver the speed and efficiency essential for data centers of the future.

Our 80,000 qualified print subscribers—and 130,000 12-month engaged online audience—trust us to dive in and provide original journalism you won’t find elsewhere covering key emerging areas such as laser-driven inertial confinement fusion, lasers in space, integrated photonics, chipscale lasers, LiDAR, metasurfaces, high-energy laser weaponry, photonic crystals, and quantum computing/sensors/communications. We cover the innovations driving these markets.

Laser Focus World is part of Endeavor Business Media, a division of EndeavorB2B.

Laser Focus World Membership

Never miss any articles, videos, podcasts, or webinars by signing up for membership access to Laser Focus World online. You can manage your preferences all in one place—and provide our editorial team with your valued feedback.

Magazine Subscription

Can you subscribe to receive our print issue for free? Yes, you sure can!

Newsletter Subscription

A Laser Focus World newsletter subscription is free to qualified professionals:

The Daily Beam

Showcases the newest content from Laser Focus World, including photonics- and optics-based applications, components, research, and trends. (Daily)

Product Watch

The latest in products within the photonics industry. (9x per year)

Bio & Life Sciences Product Watch

The latest in products within the biophotonics industry. (4x per year)

Laser Processing Product Watch

The latest in products within the laser processing industry. (3x per year)

Get Published!

If you’d like to write an article for us, reach out with a short pitch to Sally Cole Johnson: [email protected]. We love to hear from you.

Photonics Hot List

Laser Focus World produces a video newscast that gives a peek into what’s happening in the world of photonics.

Following the Photons: A Photonics Podcast

Following the Photons: A Photonics Podcast dives deep into the fascinating world of photonics. Our weekly episodes feature interviews and discussions with industry and research experts, providing valuable perspectives on the issues, technologies, and trends shaping the photonics community.

Social Media

Bluesky • Facebook • Instagram • LinkedIn • YouTube

Meet the Laser Focus World Team

Editorial

Sales

Editorial Advisory Board

  • Professor Andrea M. Armani, University of Southern California
  • Ruti Ben-Shlomi, Ph.D., LightSolver
  • James Butler, Ph.D., Hamamatsu
  • Natalie Fardian-Melamed, Ph.D., Columbia University
  • Justin Sigley, Ph.D., AmeriCOM
  • Professor Birgit Stiller, Max Planck Institute for the Science of Light, and Leibniz University of Hannover
  • Professor Stephen Sweeney, University of Glasgow
  • Mohan Wang, Ph.D., University of Oxford
  • Professor Xuchen Wang, Harbin Engineering University
  • Professor Stefan Witte, Delft University of Technology
My Watchlist
Indicators
Industrial Laser Index
Markets
Stocks
ETFs
Tools
Markets:
Overview
News
Currencies
International
Treasuries

Is Applied Digital's Stock Set to Surge With NVIDIA's Backing?

By: MarketBeat

Network switch and ethernet cables,Data Center Concept. — Photo

Applied Digital (NASDAQ: APLD) saw its stock soar nearly 20% last week after announcing a significant $160 million strategic financing deal through a private placement, priced at market value. This investment came from institutional and accredited investors, including tech giant NVIDIA (NASDAQ: NVDA) and Related Companies, one of the largest privately-owned real estate firms specializing in complex infrastructure and data center development.

Should investors take notice of Applied Digital, now backed by one of the world's most influential companies? 

Overview of Applied Digital's Core Services and Data Centers

Applied Digital designs, develops, and operates data centers across North America, providing critical digital infrastructure solutions for the high-performance computing industry. Its services range from artificial intelligence (AI) cloud services to high-performance computing and crypto data center hosting. 

Despite this futuristic focus, the stock's performance has been underwhelming. It has a history of lengthy downtrends and only occasional periods of liquidity above its 200-day simple moving average (SMA). Despite the boost from recent news, APLD is down nearly 50% from its 52-week high and remains negative 32% year-to-date.

Recent earnings results provide additional insight into the stock's struggles. On August 28, 2024, Applied Digital reported a ($0.52) loss per share, missing analysts' expectations by $0.29 while generating $43.7 million in revenue, slightly above the $42.7 million estimate. The underwhelming earnings miss adds context to why the stock has struggled to find momentum in recent months.

The News That Sent Applied Digital Soaring

Let's take a closer look at what catalyzed last week's surge. Applied Digital announced it had entered into definitive agreements for a $160 million private placement financing involving institutional and accredited investors. Among these backers are NVIDIA and Related Companies, both significant names in their respective fields. 

The placement is set at the market, with Applied Digital agreeing to issue 49,382,720 shares at $3.24 per share, representing the last closing price on September 4, 2024. The funds from this deal are expected to solidify Applied Digital's position as a leader in the accelerated computing space.

This strategic partnership with NVIDIA sends a clear signal about Applied Digital's potential. Having such a tech giant on board adds credibility to Applied Digital's operations and could help the company expand in crucial areas like AI infrastructure. Additionally, Related Companies' involvement further underscores the significance of Applied Digital's role in building the infrastructure that supports these emerging technologies.

Mixed Sentiment Around Applied Digital

Despite this financing deal's excitement, sentiment toward Applied Digital remains mixed. Analysts covering the stock are bullish, with five analysts giving it a Buy rating and an average price target forecasting an 80% upside from current levels. Notably, on September 5, Roth MKM reiterated its Buy rating with a $10 price target.

However, skepticism is evident, especially with the rise of short interest rates. As of August 15, short interest in APLD stood at 17.32%, a 6% increase from the previous month. Such a high level of short interest indicates that some market participants believe the stock could be overvalued or face significant challenges. A rising short interest suggests a bearish sentiment and an expectation that Applied Digital's stock price could fall further in the medium to long term.

Adding to the cautious sentiment is the lack of insider buying over the past year. Instead, insiders have been selling, with nearly $600,000 worth of stock offloaded through multiple transactions. 

Should Investors Be Cautious Despite NVIDIA's Support for Applied Digital?

With one of the world's most influential companies, NVIDIA, backing Applied Digital, investors have a compelling reason to pay attention. The $160 million strategic investment validates the company's potential in the digital infrastructure and AI space. However, mixed sentiment, including rising short interest and insider selling, should temper expectations.

More News

View More
Copper Giant Freeport Slumps but Analysts See 33% Upside
Via MarketBeat
Tickers FCX SCCO
The BYD Opportunity: Tesla-Like Growth at a Fraction of the Price
Via MarketBeat
Topics Electric Vehicles
Tickers BYDDY LI TSLA
3 Reasons CoreWeave Could Be the Hottest AI Stock in Q4
Via MarketBeat
Topics Artificial Intelligence
Tickers CRWV NVDA
Accenture: Undervalued GenAI Leader or Snake Eating its Own Tail?
Via MarketBeat
Tickers ACN IBM
Why Wall Street Is Betting Billions on Oklo's Nuclear Vision
Via MarketBeat
Topics Artificial Intelligence
Tickers LBRT LEU OKLO VRT
Stock Quote API & Stock News API supplied by www.cloudquote.io
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms Of Service.