Applied Digital (NASDAQ:APLD) Trading 5.4% Higher – What’s Next?

Applied Digital Co. (NASDAQ:APLD) rose 5.4% during trading on Wednesday . The stock traded as high as $7.06 and last traded at $6.87. Approximately 7,423,037 shares changed hands during mid-day trading, a decline of 70% from the average daily volume of 24,512,326 shares. The stock had previously closed at $6.52.

Wall Street Analyst Weigh In

APLD has been the topic of several recent analyst reports. Craig Hallum raised their price target on Applied Digital from $10.00 to $12.00 and gave the company a “buy” rating in a report on Thursday, October 10th. Compass Point initiated coverage on shares of Applied Digital in a research report on Tuesday. They set a “buy” rating and a $10.00 price target for the company. Cantor Fitzgerald lowered their target price on Applied Digital from $15.00 to $14.00 and set an “overweight” rating for the company in a research note on Wednesday, January 15th. Roth Mkm restated a “buy” rating and set a $10.00 price target on shares of Applied Digital in a research report on Thursday, October 10th. Finally, Needham & Company LLC reissued a “buy” rating and set a $11.00 price objective on shares of Applied Digital in a research note on Wednesday, January 15th. Eight equities research analysts have rated the stock with a buy rating, According to MarketBeat.com, the company has an average rating of “Buy” and an average price target of $11.13.

Applied Digital Stock Performance

The business’s 50-day moving average price is $8.89 and its 200-day moving average price is $7.09. The stock has a market cap of $1.65 billion, a P/E ratio of -4.27 and a beta of 4.78. The company has a debt-to-equity ratio of 1.22, a quick ratio of 0.77 and a current ratio of 0.77.

Applied Digital (NASDAQ:APLD) last released its quarterly earnings data on Tuesday, January 14th. The company reported ($0.06) EPS for the quarter, beating the consensus estimate of ($0.14) by $0.08. Applied Digital had a negative net margin of 127.86% and a negative return on equity of 117.67%. The business had revenue of $63.87 million during the quarter, compared to the consensus estimate of $62.41 million. During the same quarter in the prior year, the firm earned ($0.05) EPS. The business’s revenue was up 51.3% on a year-over-year basis. As a group, sell-side analysts expect that Applied Digital Co. will post -0.96 earnings per share for the current fiscal year.

Insider Activity

In other Applied Digital news, CEO Wes Cummins sold 200,000 shares of the company’s stock in a transaction on Wednesday, November 27th. The stock was sold at an average price of $9.20, for a total transaction of $1,840,000.00. Following the completion of the sale, the chief executive officer now owns 3,875,955 shares in the company, valued at $35,658,786. This represents a 4.91 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Richard N. Nottenburg sold 20,000 shares of the firm’s stock in a transaction dated Friday, January 17th. The shares were sold at an average price of $8.85, for a total transaction of $177,000.00. Following the completion of the sale, the director now owns 342,923 shares in the company, valued at $3,034,868.55. This represents a 5.51 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 289,369 shares of company stock valued at $2,622,461. 11.81% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the company. Van ECK Associates Corp increased its holdings in Applied Digital by 113.8% in the 4th quarter. Van ECK Associates Corp now owns 4,404,313 shares of the company’s stock worth $33,649,000 after buying an additional 2,344,572 shares during the period. Geode Capital Management LLC boosted its holdings in shares of Applied Digital by 48.7% in the 3rd quarter. Geode Capital Management LLC now owns 3,061,160 shares of the company’s stock valued at $25,258,000 after acquiring an additional 1,002,862 shares during the last quarter. State Street Corp increased its stake in shares of Applied Digital by 14.0% in the third quarter. State Street Corp now owns 2,337,267 shares of the company’s stock worth $19,282,000 after acquiring an additional 286,852 shares during the period. Royce & Associates LP raised its holdings in shares of Applied Digital by 1.4% during the third quarter. Royce & Associates LP now owns 1,132,140 shares of the company’s stock worth $9,340,000 after purchasing an additional 15,763 shares during the last quarter. Finally, Exchange Traded Concepts LLC lifted its position in Applied Digital by 37.6% during the fourth quarter. Exchange Traded Concepts LLC now owns 1,002,090 shares of the company’s stock valued at $7,656,000 after purchasing an additional 273,666 shares during the period. 65.67% of the stock is currently owned by hedge funds and other institutional investors.

About Applied Digital

Applied Digital Corporation designs, develops, and operates datacenters in North America. Its datacenters provide digital infrastructure solutions to the high-performance computing industry. The company also provides artificial intelligence cloud services, high performance computing datacenter hosting, and crypto datacenter hosting services.