Applied Digital (NASDAQ:APLD) Trading Up 1.2% – Here’s Why

Applied Digital Corporation (NASDAQ:APLD)’s stock price shot up 1.2% on Tuesday . The stock traded as high as $29.10 and last traded at $28.54. 13,016,366 shares were traded during trading, a decline of 43% from the average session volume of 22,841,283 shares. The stock had previously closed at $28.19.

Analysts Set New Price Targets

APLD has been the topic of a number of research reports. Weiss Ratings reiterated a “sell (d-)” rating on shares of Applied Digital in a report on Tuesday, July 21st. Wells Fargo & Company initiated coverage on shares of Applied Digital in a research report on Thursday, September 17th. They set an “overweight” rating and a $50.00 price objective on the stock. Lake Street Capital upped their price objective on shares of Applied Digital from $70.00 to $90.00 and gave the company a “buy” rating in a research note on Tuesday, June 9th. Northland Securities set a $82.00 target price on shares of Applied Digital and gave the stock an “outperform” rating in a research report on Wednesday, June 17th. Finally, Zacks Research lowered shares of Applied Digital from a “hold” rating to a “strong sell” rating in a research note on Wednesday, August 26th. Three investment analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating, two have given a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, Applied Digital has a consensus rating of “Moderate Buy” and an average target price of $62.79.

Applied Digital Stock Up 1.2%

The stock has a market cap of $8.32 billion, a price-to-earnings ratio of -32.07 and a beta of 5.72. The business has a fifty day moving average of $27.64 and a 200 day moving average of $32.69. The company has a debt-to-equity ratio of 2.88, a current ratio of 4.01 and a quick ratio of 4.01.

Applied Digital (NASDAQ:APLD) last released its quarterly earnings data on Monday, July 27th. The company reported ($0.39) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.09) by ($0.30). The business had revenue of $240.35 million during the quarter, compared to analyst estimates of $96.85 million. Applied Digital had a negative net margin of 37.78% and a negative return on equity of 16.42%. The firm’s revenue for the quarter was up 406.3% on a year-over-year basis. During the same period in the previous year, the firm posted ($0.24) EPS. On average, equities analysts predict that Applied Digital Corporation will post -1.09 earnings per share for the current year.

Insider Buying and Selling at Applied Digital

In other news, Director Richard Nottenburg sold 75,000 shares of the company’s stock in a transaction dated Tuesday, August 4th. The stock was sold at an average price of $31.15, for a total transaction of $2,336,250.00. Following the completion of the sale, the director owned 133,378 shares in the company, valued at approximately $4,154,724.70. This represents a 35.99% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. 9.50% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Applied Digital

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Osbon Capital Management LLC bought a new stake in Applied Digital during the fourth quarter worth approximately $28,000. Bartlett & CO. Wealth Management LLC raised its position in shares of Applied Digital by 244.3% in the first quarter. Bartlett & CO. Wealth Management LLC now owns 1,205 shares of the company’s stock valued at $29,000 after purchasing an additional 855 shares during the period. FNY Investment Advisers LLC bought a new position in shares of Applied Digital in the second quarter valued at approximately $37,000. Clearstead Advisors LLC acquired a new stake in shares of Applied Digital in the fourth quarter worth $49,000. Finally, Vermillion Wealth Management Inc. acquired a new stake in shares of Applied Digital in the fourth quarter worth $49,000. 65.67% of the stock is currently owned by institutional investors and hedge funds.

About Applied Digital

Applied Digital Corporation (NASDAQ:APLD) develops and operates digital infrastructure designed to support high-performance computing (HPC), artificial intelligence (AI) and other compute-intensive applications. The company provides data center capacity and related services to customers that require substantial computing power, connectivity and energy resources.

The company’s facilities are designed to support advanced computing workloads, including AI model development, cloud computing and digital asset-related applications.