tags:

• analyst/guasty-winds
• thesis/fraud ...

Guasty Winds published a follow-up article on Applied Digital (NASDAQ: APLD — $717 million), a “next generation datacenter” company. Guasty Winds outlined the bizarre corporate history of the company, which at one point bought a potato processing business from Applied Digital’s current CEO. Although the company claims the acquisition was successful, Guasty Winds alleged the business “was actually loss-making [and] had a negative working capital position with no significant fixed assets” and fits a broader pattern of deception by the company.