Ekso Bionics (EKSO) shares surged nearly doubled after Applied Digital (APLD) announced plans to spin off its cloud segment into a standalone business, leading to the creation of a new company called ChronoScale. Despite the jump, EKSO stock is down about 40% from its year-to-date high. This move is part of a broader effort by Applied Digital to unlock hidden value in its ecosystem. Investors are optimistic about the merger, as spinoffs are often rewarded for improved efficiency and growth prospects. EKSO operates in a niche market for robotic exoskeletons, with recent partnerships and deployments driving revenue growth and debt reduction. Despite bullish technicals, investors should note that EKSO stock is already trading above the Street’s mean price target. The consensus rating on EKSO shares is a “Moderate Buy,” with the highest price target indicating potential downside of nearly 10% from current levels.

Read more at Barchart: Applied Digital Just Sent Little-Known Ekso Bionics Stock Soaring. Should You Buy Shares Here?