Applied Digital (NASDAQ:APLD) Stock Price Down 7.6% – Here’s What Happened

Applied Digital Corporation (NASDAQ:APLD) dropped 7.6% during mid-day trading on Friday . The stock traded as low as $23.28 and last traded at $23.76. Approximately 15,925,879 shares were traded during trading, a decline of 42% from the average daily volume of 27,263,854 shares. The stock had previously closed at $25.72.

Analyst Upgrades and Downgrades

APLD has been the subject of a number of recent analyst reports. Texas Capital upgraded shares of Applied Digital to a “strong-buy” rating in a research report on Tuesday, January 20th. Freedom Capital upgraded Applied Digital to a “strong-buy” rating in a research report on Tuesday, January 6th. Citigroup reissued an “outperform” rating on shares of Applied Digital in a research note on Wednesday, January 28th. Lake Street Capital restated a “buy” rating and issued a $45.00 price target on shares of Applied Digital in a research note on Tuesday, December 30th. Finally, Arete Research began coverage on Applied Digital in a report on Wednesday, January 7th. They set a “buy” rating on the stock. Two equities research analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Buy” and an average target price of $37.00.

Applied Digital Stock Performance

The stock’s fifty day simple moving average is $31.60 and its 200-day simple moving average is $29.00. The company has a quick ratio of 4.82, a current ratio of 4.82 and a debt-to-equity ratio of 1.79. The company has a market capitalization of $6.64 billion, a PE ratio of -44.00 and a beta of 7.20.

Insider Transactions at Applied Digital

In related news, Director Douglas S. Miller sold 10,000 shares of the firm’s stock in a transaction that occurred on Monday, January 12th. The stock was sold at an average price of $38.54, for a total value of $385,400.00. Following the completion of the transaction, the director directly owned 200,859 shares of the company’s stock, valued at $7,741,105.86. This trade represents a 4.74% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CEO Wes Cummins sold 165,000 shares of Applied Digital stock in a transaction on Friday, January 16th. The stock was sold at an average price of $36.42, for a total value of $6,009,300.00. Following the transaction, the chief executive officer directly owned 4,176,329 shares of the company’s stock, valued at approximately $152,101,902.18. This represents a 3.80% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 244,593 shares of company stock worth $9,003,278. 9.50% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in APLD. Teachers Retirement System of The State of Kentucky acquired a new position in Applied Digital during the third quarter worth about $994,000. Voya Investment Management LLC grew its position in shares of Applied Digital by 403.4% in the third quarter. Voya Investment Management LLC now owns 1,464,909 shares of the company’s stock valued at $33,605,000 after purchasing an additional 1,173,929 shares during the last quarter. Federated Hermes Inc. acquired a new stake in shares of Applied Digital in the third quarter valued at approximately $3,204,000. AlphaQuest LLC purchased a new position in shares of Applied Digital during the 3rd quarter worth approximately $1,369,000. Finally, MRA Advisory Group purchased a new position in shares of Applied Digital during the 3rd quarter worth approximately $978,000. Hedge funds and other institutional investors own 65.67% of the company’s stock.

About Applied Digital

Applied Digital (NASDAQ: APLD) is a technology company specializing in the development and operation of large-scale digital infrastructure and sustainable Bitcoin mining solutions. Through its integrated platform, the company designs, builds and manages turnkey data center facilities while also providing comprehensive hosting services for cloud, colocation and enterprise computing needs. Applied Digital’s modular approach to facility design enables rapid deployment of capacity and streamlined integration of power, cooling and network connectivity.

In addition to its data center business, Applied Digital operates a network of Bitcoin mining sites that leverage vertically integrated capabilities, including hardware procurement, mining farm engineering, energy management and real-time performance monitoring.