Applied Digital is trading 10.2% down at $26.84 after Morgan Stanley initiated coverage with a neutral rating amid broader tech and crypto weakness.
- Morgan Stanley started coverage with an Equal Weight rating and a $36.50 price target, which has put pressure on investor sentiment.
- The decline is being intensified by broader tech-sector concerns regarding high AI capital expenditures and a 1–2% drop in Bitcoin and Ethereum, which typically impacts crypto-exposed stocks.