Key Points
Applied Digital (NASDAQ: APLD) is currently developing four new AI data centers, aiming for $1 billion in net operating income over the next five years, following an operational profit of $31.5 million from its AI data centers and crypto mining facilities in the last quarter. Analysts are optimistic, with a 100% buy rating from 13 analysts and a median price target of $43 per share, suggesting a potential 32% upside.
Nvidia (NASDAQ: NVDA) holds a dominant 90% market share in GPUs for AI data centers, showing strong earnings growth despite recent stock price fluctuations. With 93% of the 70 analysts covering it rating it a buy, Nvidia’s median price target is set at $267.50, indicating a projected 33% upside over the next year. Its current P/E ratio has dropped to average levels, enhancing its appeal as a buy opportunity.
