Applied Digital (NASDAQ:APLD) Trading 2.4% Higher – Should You Buy?

Applied Digital Corporation (NASDAQ:APLD)’s stock price traded up 2.4% on Wednesday . The company traded as high as $32.15 and last traded at $31.44. 18,070,540 shares were traded during mid-day trading, a decline of 28% from the average daily volume of 24,983,770 shares. The stock had previously closed at $30.71.

Wall Street Analysts Forecast Growth

A number of research analysts have recently commented on APLD shares. Lake Street Capital increased their price objective on Applied Digital from $70.00 to $90.00 and gave the company a “buy” rating in a report on Tuesday, June 9th. Roth Capital reissued a “buy” rating and issued a $65.00 price target on shares of Applied Digital in a research report on Thursday, April 23rd. Lucid Cap Mkts upgraded shares of Applied Digital to a “strong-buy” rating in a research note on Wednesday, May 27th. Wall Street Zen lowered shares of Applied Digital from a “hold” rating to a “sell” rating in a research note on Saturday, April 11th. Finally, B. Riley Financial reiterated a “buy” rating and issued a $66.00 target price (up from $53.00) on shares of Applied Digital in a report on Wednesday, May 27th. Three research analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating and two have given a Sell rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $70.56.

Applied Digital Stock Performance

The company has a debt-to-equity ratio of 1.65, a current ratio of 2.38 and a quick ratio of 2.38. The firm has a market cap of $8.98 billion, a price-to-earnings ratio of -42.49 and a beta of 5.67. The firm’s 50 day moving average price is $41.68 and its 200-day moving average price is $34.28.

Applied Digital (NASDAQ:APLD) last announced its quarterly earnings data on Wednesday, April 8th. The company reported ($0.36) EPS for the quarter, missing analysts’ consensus estimates of ($0.13) by ($0.23). Applied Digital had a negative net margin of 52.84% and a negative return on equity of 15.91%. The company had revenue of $108.55 million for the quarter, compared to analyst estimates of $78.47 million. During the same period in the prior year, the company posted ($0.08) EPS. The firm’s quarterly revenue was up 139.3% on a year-over-year basis. On average, analysts anticipate that Applied Digital Corporation will post -0.7 earnings per share for the current year.

Insider Activity at Applied Digital

In other news, Director Richard N. Nottenburg sold 12,500 shares of the business’s stock in a transaction that occurred on Thursday, April 30th. The stock was sold at an average price of $34.59, for a total transaction of $432,375.00. Following the sale, the director directly owned 208,378 shares in the company, valued at approximately $7,207,795.02. The trade was a 5.66% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Director Douglas S. Miller sold 10,000 shares of the company’s stock in a transaction on Monday, April 27th. The shares were sold at an average price of $34.98, for a total value of $349,800.00. Following the completion of the transaction, the director owned 184,859 shares of the company’s stock, valued at $6,466,367.82. The trade was a 5.13% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 35,000 shares of company stock worth $1,182,175 in the last three months. 9.50% of the stock is owned by insiders.

Institutional Trading of Applied Digital

Large investors have recently made changes to their positions in the business. AQR Capital Management LLC increased its holdings in shares of Applied Digital by 84.8% in the first quarter. AQR Capital Management LLC now owns 18,945 shares of the company’s stock valued at $106,000 after purchasing an additional 8,692 shares in the last quarter. NewEdge Advisors LLC boosted its stake in Applied Digital by 239.1% in the 1st quarter. NewEdge Advisors LLC now owns 33,267 shares of the company’s stock worth $187,000 after purchasing an additional 23,457 shares during the period. Geneos Wealth Management Inc. raised its position in Applied Digital by 113.3% in the 1st quarter. Geneos Wealth Management Inc. now owns 6,667 shares of the company’s stock valued at $37,000 after buying an additional 3,542 shares during the last quarter. Strs Ohio bought a new stake in Applied Digital during the 1st quarter worth about $71,000. Finally, Cetera Investment Advisers grew its stake in shares of Applied Digital by 61.0% in the second quarter. Cetera Investment Advisers now owns 61,656 shares of the company’s stock valued at $621,000 after buying an additional 23,360 shares in the last quarter. Institutional investors own 65.67% of the company’s stock.

Applied Digital Company Profile

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.