Applied Digital (NASDAQ:APLD) Stock Price Up 1.3% – Here’s Why

Applied Digital Corporation (NASDAQ:APLD) was up 1.3% during trading on Monday . The stock traded as high as $35.79 and last traded at $33.50. Approximately 13,721,817 shares were traded during mid-day trading, a decline of 45% from the average session volume of 25,113,313 shares. The stock had previously closed at $33.06.

Wall Street Analyst Weigh In

Several brokerages have recently weighed in on APLD. Northland Securities set a $82.00 price target on Applied Digital and gave the company an “outperform” rating in a research report on Wednesday, June 17th. B. Riley Financial restated a “buy” rating and issued a $66.00 price objective (up from $53.00) on shares of Applied Digital in a research report on Wednesday, May 27th. Needham & Company LLC boosted their price objective on shares of Applied Digital from $66.00 to $83.00 and gave the company a “buy” rating in a research note on Tuesday, June 9th. Citigroup reaffirmed a “market outperform” rating on shares of Applied Digital in a report on Tuesday, June 9th. Finally, Lucid Cap Mkts upgraded shares of Applied Digital to a “strong-buy” rating in a research note on Wednesday, May 27th. Three 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. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $70.56.

Applied Digital Stock Performance

The company has a 50-day moving average of $41.68 and a 200 day moving average of $34.28. The company has a quick ratio of 2.38, a current ratio of 2.38 and a debt-to-equity ratio of 1.65. The firm has a market capitalization of $8.98 billion, a PE ratio of -42.49 and a beta of 5.67.

Applied Digital (NASDAQ:APLD) last released its quarterly earnings results on Wednesday, April 8th. The company reported ($0.36) earnings per share for the quarter, missing the consensus estimate of ($0.13) by ($0.23). The business had revenue of $108.55 million during the quarter, compared to analysts’ expectations of $78.47 million. Applied Digital had a negative net margin of 52.84% and a negative return on equity of 15.91%. The business’s revenue was up 139.3% on a year-over-year basis. During the same period in the previous year, the business earned ($0.08) EPS. Equities research analysts predict that Applied Digital Corporation will post -0.7 EPS for the current year.

Insider Activity at Applied Digital

In related news, Director Douglas S. Miller sold 10,000 shares of the company’s stock in a transaction that occurred 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 transaction, the director directly 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 document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Richard N. Nottenburg sold 12,500 shares of the firm’s stock in a transaction that occurred on Thursday, April 30th. The shares were sold at an average price of $34.59, for a total transaction of $432,375.00. Following the completion of the sale, the director directly owned 208,378 shares in the company, valued at $7,207,795.02. This represents a 5.66% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 35,000 shares of company stock worth $1,182,175. 9.50% of the stock is owned by company insiders.

Institutional Trading of Applied Digital

Hedge funds have recently made changes to their positions in the stock. Cannon Capital Management Inc. bought a new stake in shares of Applied Digital in the 4th quarter worth approximately $3,635,000. Mirae Asset Global Investments Co. Ltd. bought a new position in shares of Applied Digital during the 4th quarter valued at $2,674,000. Azora Capital LP purchased a new position in Applied Digital in the 3rd quarter worth $3,000,000. Prime Capital Investment Advisors LLC bought a new stake in Applied Digital in the fourth quarter worth $1,284,000. Finally, M&T Bank Corp purchased a new stake in Applied Digital during the fourth quarter valued at about $2,232,000. 65.67% of the stock is owned by institutional investors.

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.