Applied Digital (NASDAQ:APLD) Stock Price Down 8% – Here’s What Happened

Applied Digital Corporation (NASDAQ:APLD)’s share price traded down 8% during mid-day trading on Monday . The company traded as low as $37.60 and last traded at $39.14. 19,518,358 shares traded hands during mid-day trading, a decline of 26% from the average session volume of 26,285,914 shares. The stock had previously closed at $42.56.

Analysts Set New Price Targets

A number of analysts have weighed in on APLD shares. Wall Street Zen lowered shares of Applied Digital from a “hold” rating to a “sell” rating in a research note on Saturday, April 11th. Roth Mkm reiterated a “buy” rating and issued a $65.00 target price on shares of Applied Digital in a research note on Thursday, April 23rd. Zacks Research raised shares of Applied Digital from a “strong sell” rating to a “hold” rating in a research report on Thursday, May 7th. Citizens Jmp restated a “market outperform” rating and issued a $40.00 price objective on shares of Applied Digital in a report on Thursday, April 9th. Finally, Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Applied Digital in a research report on Friday, April 24th. Two equities research analysts have rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, Applied Digital has an average rating of “Moderate Buy” and a consensus target price of $44.67.

Applied Digital Price Performance

The stock has a market capitalization of $11.19 billion, a PE ratio of -52.89 and a beta of 5.69. The firm’s fifty day moving average price is $30.93 and its two-hundred day moving average price is $30.59. The company has a quick ratio of 2.38, a current ratio of 2.38 and a debt-to-equity ratio of 1.65.

Applied Digital (NASDAQ:APLD) last issued its earnings results on Wednesday, April 8th. The company reported ($0.36) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.13) by ($0.23). The company had revenue of $108.55 million during the quarter, compared to analysts’ expectations of $78.47 million. Applied Digital had a negative return on equity of 15.91% and a negative net margin of 52.84%.The company’s revenue for the quarter was up 139.3% compared to the same quarter last year. During the same quarter in the prior year, the business posted ($0.08) EPS. On average, equities analysts predict that Applied Digital Corporation will post -0.61 earnings per share for the current year.

Insider Buying and Selling at Applied Digital

In related news, Director Douglas S. Miller sold 10,000 shares of the company’s stock in a transaction on Monday, April 27th. The stock was sold at an average price of $34.98, for a total transaction of $349,800.00. Following the completion of the sale, the director owned 184,859 shares in the company, valued at approximately $6,466,367.82. This represents a 5.13% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Richard N. Nottenburg sold 12,500 shares of the stock in a transaction dated Thursday, April 30th. The shares were sold at an average price of $34.59, for a total value of $432,375.00. Following the completion of the transaction, the director directly owned 208,378 shares in the company, valued at approximately $7,207,795.02. This represents a 5.66% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 35,000 shares of company stock valued at $1,182,175 in the last ninety days. 9.50% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Applied Digital

Institutional investors and hedge funds have recently made changes to their positions in the business. The Manufacturers Life Insurance Company increased its holdings in Applied Digital by 6.3% during the first quarter. The Manufacturers Life Insurance Company now owns 123,419 shares of the company’s stock valued at $2,930,000 after buying an additional 7,357 shares during the last quarter. Quantinno Capital Management LP raised its position in Applied Digital by 30.3% in the first quarter. Quantinno Capital Management LP now owns 13,383 shares of the company’s stock worth $318,000 after acquiring an additional 3,111 shares during the period. SummitTX Capital L.P. boosted its stake in shares of Applied Digital by 100.7% during the 1st quarter. SummitTX Capital L.P. now owns 60,217 shares of the company’s stock worth $1,430,000 after acquiring an additional 30,220 shares during the last quarter. Healthcare of Ontario Pension Plan Trust Fund boosted its stake in shares of Applied Digital by 13.3% during the 1st quarter. Healthcare of Ontario Pension Plan Trust Fund now owns 646,051 shares of the company’s stock worth $15,337,000 after acquiring an additional 75,964 shares during the last quarter. Finally, Sei Investments Co. grew its position in shares of Applied Digital by 33.0% during the 1st quarter. Sei Investments Co. now owns 1,093,701 shares of the company’s stock valued at $25,964,000 after acquiring an additional 271,618 shares during the period. 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.