Jim Cramer on Applied Digital: "You Should Own the Stock"

Applied Digital Corporation (NASDAQ:

) is one of the stocks Jim Cramer Recently Discussed . When a caller sought Cramer’s thoughts on the stock, he said:

I think Applied Digital’s going to have a breakout quarter, and therefore, you should own the stock. I know it seems like it’s expensive because it has generated a lot of losses. I think those are going to come to a conclusion very, very soon.

A stock market data. Photo by AlphaTradeZone on Pexels

Applied Digital Corporation (NASDAQ:APLD) designs, builds, and operates data centers that support high-performance computing and AI workloads. Cramer discussed the company during the January 20 episode and commented:

Next, there’s a whole new class of companies that’s caught fire over the past year, cryptocurrency miners that are converting their racks full of servers into data centers for AI. Now, this all started with CoreWeave. I don’t know if you saw Michael Intrator… CoreWeave’s successful IPO last March really caught everybody by surprise. Then, we saw Nebius join the fray. Those stocks were up 33% and 19%, respectively, by the way, just in 2026. But some of the even newer converted crypto miners are up more than 40%, like IREN, Applied Digital, Riot Platforms. These moves are insane. I need you to take profits before they’re cut in half… We saw the same carnage in the crypto miners turned AI data center plays. IREN, Applied Digital, Riot Platforms, each fell somewhere between 50% to 57% from peak to trough. That is dangerous.

While we acknowledge the potential of APLD as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the

.