Applied Digital Corporation (NASDAQ:APLD) is considered one of the best data center stocks to buy now, with a 114% surge year-to-date due to increasing demand for AI and HPC. The company announced plans for a $3 billion, 280MW AI Factory called Polaris Forge 2 in North Dakota, leading to a 16% stock rally.

The company already operates data centers in North Dakota, with Polaris Forge 1, a 400MW HPC campus, currently under construction. Analyst George Sutton from Craig-Hallum raised the price target for APLD to $23, citing potential upside not reflected in current trading levels. The stock carries a high beta of 6.0, indicating significant volatility.

Applied Digital Corporation specializes in digital infrastructure solutions and cloud services for the HPC and AI markets. While APLD shows promise as an investment, other AI stocks may offer greater upside potential with lower downside risk. Investors are encouraged to explore opportunities in the AI sector for potential growth.

Read more at Yahoo Finance: Craig-Hallum Nearly Doubles Price Target on Applied Digital (APLD), Reiterates Buy