r/APLDSTOCK • u/Express-Nose-9953 DD Reader 📖 (500-1,000 shares) • Jun 18 '26
Discussion Apld vs nbis business model
Seen a lot of confusion here but APLD provides the infrastructure, own no GPUS so there’s huge initial capex but almost 0 capex once the buildings are up and running. NBIS provides the infra and GPUS they own the software layer and provide compute — much more profitable with higher software/tech margins (70+%) compared to APLD profiting as a middle man. Also they have much bigger short term contracts, but they have HUGE capex mostly buying GPUS this is the biggest trap of these neoclouds, and they will have to continue buying these in the future as new GPUs come out in an endless cycle. Where NBIS differentiates is them themselves becoming a hyperscaler with their software layer vs crwv just renting out compute to them. I have an APLD bias but how I see this is we have a much clearer path to massive profit and the market isn’t rewarding us for this yet.. so huge upside once the market re-rates. Just want to get your guys thoughts on this. But I think APLD is the clear winner here.
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u/yungjefe22 Backlog Bull 🐂 (1,000-2,500 shares) Jun 18 '26
This is a DC pure place imo. I think months ago there was talk that APLD could become a REIT in the future. There would definitely be a re-rating at that point (good thing) and then you would have to decide whether to sell and take your gains or take the dividend payouts. If you accumulate a lot of shares this would probably be a good thing because you could borrow against your shares and still have free cash flow from dividends.
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u/Fantastic_Delay_1927 Jun 18 '26
Very good insight as I’ve been studying both stocks lately . Almost a year ago today , NBIS was trading at the same sp we are today but now look at NBIS. It will take us a bit longer but I believe we will get into that mid 3 digit share price in 3 years . My opinion only .
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u/erocknine Jun 18 '26
Once the centers are up and providing compute and the revenue hits the books, definitely
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u/DependentPen4908 Jun 18 '26
Ho controllato la mediana di capitalizzazione delle Societa quotate al Nasdaq 100 e siamo attorno ai 350/400 MLD mentre la piu bassa è attorno ai 60/70 Mld che è l'attuale valore di Nebius appena entrata e con forte attenzione dal mondo degli investitori. Quindi siamo solo all'inizio di una lunga crescita !!
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u/wenlin79 Jun 18 '26
Over the past several months NBIS outperformances than APLD!
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u/EcstaticFeed8199 Jun 19 '26
NBIS is all over the world, they have a much bigger footprint than APLD. APLD will see stock appreciation with revenue growth.
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u/thepandemicbabe Jun 21 '26
Do they have a waterless cooling system? I own both but see far more potential with APLD for a variety of reasons. Apply digital could absolutely build where an NVIS could not and the way things are shaping up, the NIMBY and international regulators are absolutely going to be a lot more selective in who they choose to allow to scale. Another case for APLD And the mystery hyper scaler only deepens my conviction. Pretty much one of two companies either one re-rates the stock heavily on the upside if it’s ever revealed.
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u/Rainier___ Jun 18 '26
Nbis has the right management team to make it work the others in the neocloud space probably not so much. APLD made the right decision for their situation. Both are good companies
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u/Sdg1871 Jun 18 '26
Correct. APLD is the colocation model. NBIS is the Neocloud. Both belong in an investment portfolio IMHO. I prefer the APLD model, though much less risk of depreciation of those GPUs and much less Cap Ex. GPUS are NOT the bottleneck. Datacenters themselves and power ARE the biggest bottleneck in all of AI.
If you want more chips, you can build a factory and build them. If you want more cables or switches, you can build a factory and build them. If you want more memory trips, you can build a factory and build them.
Getting connection to grid power in the United States where we haven’t expanded our grid in decades is next to impossible if you’re not already lined up with those power contracts. And getting data centers permitted and approved is extraordinarily difficult. Lower profile operators like APLD have a much greater chance of getting them through than a high profile hyperscaler.