Wolfpack short ‘potato farm turned failed bitcoin miner’ Applied Digital

In a recently published report, Wolfpack Research said it is short Applied Digital, calling it a “stock promotion.” “Applied Digital, a potato farm turned failed bitcoin miner, pumped up its stock in May by claiming to pivot from a floundering business hosting bitcoin miners, to becoming a low-cost AI Cloud service provider. The explosion of interest in AI after the emergence of Chat GPT has predictably attracted the worst promoters and scumbags to peddle fake AI wares to credulous investors, and our analysis indicates that APLD is one of these grifters because it is not an AI company,” the report reads. Further, Wolfpack highlights that, “One clue that this is a stock promotion is the heavy involvement of our favorite bottom feeding investment bank, B. Riley, whose insiders… own 48.4% of APLD… The fact that the board has essentially remained unchanged, despite the fact that APLD has switched its business model every few months since it remerged in 2021, indicates that the board lacks competence.” In Thursday morning trading, shares of Applied Digital have dropped over 14% to $7.71.