By Sara Appino, The Motley Fool
Publication Date: 2026-08-12 21:27:00
As the race for high-performance computing intensifies, investors must choose between the niche growth of Applied Digital (NASDAQ:APLD) and the massive scale of Microsoft (NASDAQ:MSFT). Which stock is the better buy?
Applied Digital builds the physical foundation for the artificial intelligence era through specialized data centers. Microsoft operates as a global technology leader, integrating software and cloud computing across its massive ecosystem. Both companies are prominent players in the technology landscape, though they offer distinct risk and reward profiles for your portfolio.
The case for Applied Digital
Applied Digital designs and operates digital infrastructure and cloud services for high-performance computing (HPC) and artificial intelligence. The company primarily serves crypto mining customers and provides GPU computing for hyperscalers and enterprises. One anchor customer accounted for roughly 59% of total revenue from…