Applied Digital (NASDAQ:APLD) Trading 3.4% Higher – Here’s What Happened

Shares of Applied Digital Corporation (NASDAQ:APLD) shot up 3.4% on Monday . The stock traded as high as $41.43 and last traded at $40.95. 14,609,777 shares traded hands during mid-day trading, a decline of 43% from the average session volume of 25,655,617 shares. The stock had previously closed at $39.62.

More Applied Digital News

Here are the key news stories impacting Applied Digital this week:

• Positive Sentiment: Applied Digital signed a 210 MW lease at Delta Forge 2 with a U.S.-based investment-grade hyperscaler, expanding its AI Factory model to a fifth campus and reinforcing long-term contracted demand. Article Title
• Positive Sentiment: The company secured a revolving credit facility of up to $550 million, including $350 million of committed capacity and a potential $200 million accordion, which should help fund strategic growth and new data-center buildouts. Article Title
• Positive Sentiment: Analysts continue to highlight Applied Digital’s growing multi-year visibility and AI infrastructure demand, with Needham reiterating a Buy rating and a $66 price target. Article Title
• Neutral Sentiment: Recent commentary from market outlets has focused on the stock’s sharp rally and ongoing volatility, suggesting sentiment remains elevated but mixed after a strong run. Article Title
• Neutral Sentiment: Other coverage is centered on Applied Digital’s power strategy and AI infrastructure positioning, which supports the long-term thesis but does not add a near-term financial surprise. Article Title

Wall Street Analysts Forecast Growth

Several brokerages have recently weighed in on APLD. Zacks Research upgraded shares of Applied Digital from a “strong sell” rating to a “hold” rating in a research note on Thursday, May 7th. Citigroup restated an “outperform” rating on shares of Applied Digital in a research note on Thursday, May 21st. Needham & Company LLC upped their target price on shares of Applied Digital from $51.00 to $66.00 and gave the company a “buy” rating in a research note on Thursday, May 21st. Lucid Cap Mkts upgraded shares of Applied Digital to a “strong-buy” rating in a research note on Wednesday, May 27th. Finally, Citizens Jmp increased their price objective on shares of Applied Digital from $40.00 to $60.00 and gave the company a “market outperform” rating in a research note on Thursday, May 21st. Three investment analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating, one has given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Buy” and an average target price of $59.11.

Applied Digital Stock Up 3.3%

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 stock has a market capitalization of $11.70 billion, a P/E ratio of -55.32 and a beta of 5.69. The stock’s 50 day simple moving average is $36.19 and its 200 day simple moving average is $32.12.

Applied Digital (NASDAQ:APLD) last posted 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 the consensus estimate of $78.47 million. During the same quarter last year, the company earned ($0.08) earnings per share. The company’s revenue was up 139.3% compared to the same quarter last year. As a group, research analysts predict that Applied Digital Corporation will post -0.68 EPS for the current fiscal year.

Insiders Place Their Bets

In other Applied Digital news, Director Douglas S. Miller sold 10,000 shares of the stock in a transaction on Monday, April 27th. The shares were sold at an average price of $34.98, for a total transaction of $349,800.00. Following the sale, the director directly owned 184,859 shares of the company’s stock, valued at approximately $6,466,367.82. This represents a 5.13% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Richard N. Nottenburg sold 12,500 shares of the stock in a transaction 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 $7,207,795.02. This trade represents a 5.66% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 35,000 shares of company stock worth $1,182,175 over the last quarter. 9.50% of the stock is currently owned by insiders.

Institutional Trading of Applied Digital

Institutional investors and hedge funds have recently modified their holdings of the business. Noble Wealth Management PBC acquired a new stake in shares of Applied Digital during the fourth quarter worth $25,000. Albion Financial Group UT acquired a new stake in shares of Applied Digital during the fourth quarter worth $25,000. Activest Wealth Management acquired a new stake in shares of Applied Digital during the fourth quarter worth $25,000. Ameriflex Group Inc. acquired a new stake in shares of Applied Digital during the fourth quarter worth $25,000. Finally, McMillan Office Inc. acquired a new stake in shares of Applied Digital during the fourth quarter worth $25,000. 65.67% of the stock is owned by institutional investors and hedge funds.

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.