AES Corp. is a U.S. utility company serving residential customers and hyperscalers in Ohio and Indiana, with plans to expand to data centers. Applied Digital, on the other hand, focuses on AI data centers. Applied Digital’s stock price has tripled in the past year, outperforming AES.

While AES has a large multi-gigawatt pipeline, Applied Digital owns gigawatts and AI data centers, positioning it for long-term growth. The companies reported different growth trajectories, with Applied Digital showing an 84% increase in sales year-over-year compared to AES’s 2% in Q3 2025.

Applied Digital secured a lucrative 15-year contract with CoreWeave, generating $11 billion in revenue. The company’s multi-gigawatt pipeline allows for multiple deals like this. Additionally, there is high demand for advanced infrastructure, giving Applied Digital the opportunity to expand further.

To accelerate the building of AI data centers, Applied Digital raised $2.35 billion through senior secured notes and tapped into a $787.5 million draw from Macquarie Asset Management. This move aims to strengthen the balance sheet and expand the AI Factory platform.

Investors are favoring Applied Digital over AES due to the former’s focus on energy and AI data centers. Despite AES’s steady growth, Applied Digital’s innovative approach and strong financial moves are attracting attention.

Read more at Yahoo Finance: If You Own AES Stock, Take a Look at This Instead