Applied Digital shares rip 40% higher on $7 billion CoreWeave AI lease agreement

Shares of Applied Digital rose more than 40% after the company said it signed two long-term lease agreements with CoreWeave for artificial intelligence data centers. Nvidia -backed CoreWeave climbed more than 7% following the announcement. Applied Digital said it expects $7 billion in rental revenue during the approximately 15-year period. The price is set upfront, "including an annual escalator regardless of actual project costs," according to a presentation shared with investors. "Through these newly signed long-term leases with CoreWeave, we are taking a step forward in our strategic expansion into advanced compute infrastructure," said Applied Digital CEO Wes Cummins in a release announcing the news. ... Read full article.