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Applied Digital’s Lease Revenue Poised to Ramp as Northland Hikes Target on 900 MW Talks

Analyst optimism reflects management’s disclosure of advanced negotiations with an investment‑grade hyperscaler covering three sites.

Overview

  • Management says lease revenue has begun and is expected to ramp next quarter as additional capacity comes online.
  • Northland raised its price target to $56 after the company reported advanced talks with a hyperscaler for roughly 900 MW across three potential sites.
  • All 14 covering analysts rate the stock a buy, with a 12‑month median target of $43.50 reported by Yahoo Finance.
  • Applied Digital reports long‑term lease commitments totaling about $16 billion tied to 600 MW in North Dakota.
  • Debt has swelled to nearly $2.6 billion as of Nov. 30 at roughly 9.25% interest, with customer concentration risk highlighted due to heavy exposure to CoreWeave.