Applied Digital (NASDAQ:APLD) Stock Price Up 7.9% – Here’s Why

Applied Digital Corporation (NASDAQ:APLD) shares rose 7.9% on Wednesday . The stock traded as high as $39.59 and last traded at $39.52. Approximately 25,666,601 shares were traded during trading, a decline of 2% from the average daily volume of 26,155,648 shares. The stock had previously closed at $36.62.

Wall Street Analysts Forecast Growth

APLD has been the subject of several analyst reports. Needham & Company LLC increased their price target on shares of Applied Digital to $51.00 and gave the company a “buy” rating in a research report on Friday, May 15th. Weiss Ratings restated a “sell (d-)” rating on shares of Applied Digital in a report on Friday, April 24th. Roth Mkm restated a “buy” rating and issued a $65.00 price objective on shares of Applied Digital in a report on Thursday, April 23rd. Wall Street Zen lowered shares of Applied Digital from a “hold” rating to a “sell” rating in a report on Saturday, April 11th. Finally, Citigroup restated an “outperform” rating on shares of Applied Digital in a report on Wednesday, January 28th. Two investment analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, Applied Digital presently has a consensus rating of “Moderate Buy” and a consensus target price of $44.67.

Applied Digital Stock Performance

The company has a current ratio of 2.38, a quick ratio of 2.38 and a debt-to-equity ratio of 1.65. The company’s 50 day moving average is $31.38 and its 200-day moving average is $30.64. The company has a market capitalization of $11.29 billion, a P/E ratio of -53.40 and a beta of 5.69.

Applied Digital (NASDAQ:APLD) last issued its quarterly 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 business had revenue of $108.55 million during the quarter, compared to the consensus estimate of $78.47 million. Applied Digital had a negative return on equity of 15.91% and a negative net margin of 52.84%.The firm’s revenue was up 139.3% compared to the same quarter last year. During the same quarter in the previous year, the business earned ($0.08) earnings per share. Equities analysts anticipate that Applied Digital Corporation will post -0.61 EPS for the current fiscal year.

Insider Activity

In related news, 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 $7,207,795.02. This trade represents a 5.66% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Douglas S. Miller sold 10,000 shares of the stock in a transaction dated 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 transaction, the director owned 184,859 shares of the company’s stock, valued at approximately $6,466,367.82. The trade was a 5.13% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 35,000 shares of company stock valued at $1,182,175. 9.50% of the stock is owned by company insiders.

Institutional Trading of Applied Digital

Several institutional investors have recently bought and sold shares of the company. Western Wealth Management LLC purchased a new stake in Applied Digital during the 1st quarter valued at about $87,000. Janus Henderson Group PLC grew its position in Applied Digital by 318.5% during the 1st quarter. Janus Henderson Group PLC now owns 785,152 shares of the company’s stock valued at $18,638,000 after purchasing an additional 597,548 shares during the last quarter. Amundi grew its position in Applied Digital by 61.8% during the 1st quarter. Amundi now owns 31,327 shares of the company’s stock valued at $744,000 after purchasing an additional 11,968 shares during the last quarter. Situational Awareness LP grew its position in Applied Digital by 18.9% during the 1st quarter. Situational Awareness LP now owns 13,478,438 shares of the company’s stock valued at $319,978,000 after purchasing an additional 2,139,378 shares during the last quarter. Finally, California State Teachers Retirement System grew its position in Applied Digital by 22.3% during the 1st quarter. California State Teachers Retirement System now owns 291,305 shares of the company’s stock valued at $6,916,000 after purchasing an additional 53,208 shares during the last quarter. 65.67% of the stock is owned by hedge funds and other institutional investors.

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.