Applied Digital Corporation
A securities class action has been filed in the U.S.D.C., N.D.TX against Applied Digital Corporation (APLD) (“Applied Digital” or the “Company”) on behalf of purchasers of securities of Applied Digital between April 13, 2022 and July 26, 2023, both dates inclusive (the “Class Period”).
Applied Digital, originally known as Applied Blockchain, designs, develops, and operates datacenters in North America, and provides artificial intelligence (“AI”) cloud services, computing datacenter hosting, and crypto datacenter hosting services.
The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operations, and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that:
- Applied Digital had overstated the profitability of its datacenter hosting business and its ability to successfully transition into a low-cost AI Cloud services provider;
- Applied Digital’s Board of Directors was not independent within the meaning of NASDAQ listing rules;
- accordingly, Applied Digital had overstated the efficacy of its business model and failed to maintain proper corporate governance standards;
- the foregoing, once revealed, was likely to subject the Company to significant financial and/or reputational harm; and
- as a result, the Company’s public statements were materially false and misleading at all relevant times, thereby causing harm to investors.
If you purchased Applied Digital securities during the Class Period and would like to receive more information or join the action, please enter your contact information below for a FREE consultation and click “Submit Your Information”.
About Lowey Dannenberg
Lowey Dannenberg is a national firm representing institutional and individual investors, who suffered financial losses resulting from corporate fraud and malfeasance in violation of federal securities and antitrust laws. The firm has significant experience in prosecuting multi-million-dollar lawsuits and has previously recovered billions of dollars on behalf of investors.
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