Applied Digital Corporation (NASDAQ:APLD<\/strong>) is one of the worst AI stocks to invest in according to Reddit<\/strong>. On January 28, Northland analyst Mike Grondahl raised the firm\u2019s price target for Applied Digital to $56 from $40 with an Outperform rating. The upgrade follows management\u2019s commentary during the FQ2 earnings call, which revealed that the company is in advanced negotiations with a new investment-grade hyperscaler. These discussions involve three potential sites and a total capacity of 900 MW, signaling significant expansion opportunities for the firm\u2019s data center infrastructure.<\/p>\n On January 20, Texas Capital analyst Derrick Whitfield initiated coverage of Applied Digital Corporation (NASDAQ:APLD) with a Buy rating and a $42 price target. Whitfield noted that the company\u2019s expertise in hyperscale development, combined with its proprietary waterless cooling and rapid deployment capabilities, positions it well within the industry.<\/p>\n Following recent announcements from the industry and the Trump Administration regarding AI infrastructure and energy, Whitfield believes Applied Digital is strategically situated to secure leases for a significant portion of its land and power portfolio, which reaches up to 4.3 gigawatts.<\/p>\n Applied Digital Corporation (NASDAQ:APLD) designs, develops, and operates digital infrastructure solutions to HPC and AI industries in North America. It operates through: Data Center Hosting Business, and HPC Hosting Business.<\/p>\n While we acknowledge the potential of APLD as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you\u2019re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock<\/strong>.<\/p>\n<\/div>\n<\/div>