Applied Digital (NASDAQ:APLD) Stock Price Down 5.6% – Here’s Why

Applied Digital Co. (NASDAQ:APLD) shares were down 5.6% during mid-day trading on Monday . The company traded as low as $5.28 and last traded at $5.40. Approximately 4,962,739 shares were traded during mid-day trading, a decline of 81% from the average daily volume of 26,180,809 shares. The stock had previously closed at $5.72.

Wall Street Analyst Weigh In

A number of research analysts recently weighed in on APLD shares. HC Wainwright boosted their target price on Applied Digital from $10.00 to $12.00 and gave the stock a “buy” rating in a report on Wednesday, January 15th. Northland Securities upped their price objective on shares of Applied Digital from $12.00 to $20.00 and gave the company an “outperform” rating in a report on Tuesday, February 4th. Compass Point initiated coverage on shares of Applied Digital in a research note on Tuesday, January 28th. They set a “buy” rating and a $10.00 target price for the company. Cantor Fitzgerald decreased their price target on shares of Applied Digital from $15.00 to $14.00 and set an “overweight” rating on the stock in a research note on Wednesday, January 15th. Finally, Needham & Company LLC restated a “buy” rating and set a $11.00 price objective on shares of Applied Digital in a research report on Monday, February 24th. Nine research analysts have rated the stock with a buy rating, According to data from MarketBeat, the company currently has an average rating of “Buy” and an average target price of $12.11.

Applied Digital Stock Up 8.4 %

The firm has a 50 day simple moving average of $7.63 and a two-hundred day simple moving average of $8.01. The company has a quick ratio of 0.77, a current ratio of 0.77 and a debt-to-equity ratio of 1.22. The stock has a market capitalization of $1.36 billion, a P/E ratio of -3.52 and a beta of 4.69.

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

Insider Buying and Selling

In other Applied Digital news, Director Richard N. Nottenburg sold 20,000 shares of the firm’s stock in a transaction on Friday, January 17th. The shares were sold at an average price of $8.85, for a total value of $177,000.00. Following the completion of the sale, the director now directly owns 342,923 shares in the company, valued at approximately $3,034,868.55. This trade represents a 5.51 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 11.81% of the stock is owned by insiders.

Institutional Trading of Applied Digital

Several large investors have recently made changes to their positions in APLD. California State Teachers Retirement System lifted its holdings in shares of Applied Digital by 65.6% in the 4th quarter. California State Teachers Retirement System now owns 162,561 shares of the company’s stock worth $1,242,000 after purchasing an additional 64,425 shares in the last quarter. Polar Asset Management Partners Inc. bought a new position in Applied Digital in the 4th quarter valued at about $510,000. Mackenzie Financial Corp purchased a new stake in shares of Applied Digital in the fourth quarter worth approximately $92,000. GTS Securities LLC purchased a new position in Applied Digital during the fourth quarter worth about $196,000. Finally, Two Seas Capital LP bought a new position in shares of Applied Digital in the fourth quarter valued at approximately $5,062,000. 65.67% of the stock is currently owned by institutional investors and hedge funds.

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.