Applied Digital (NASDAQ:APLD) Trading Down 11% – What’s Next?

Shares of Applied Digital Corporation (NASDAQ:APLD) fell 11% on Friday . The stock traded as low as $33.53 and last traded at $33.88. 30,621,043 shares traded hands during mid-day trading, a decline of 27% from the average session volume of 41,786,125 shares. The stock had previously closed at $38.07.

Wall Street Analyst Weigh In

A number of research analysts have issued reports on the stock. Lake Street Capital restated a “buy” rating and set a $45.00 target price on shares of Applied Digital in a research report on Tuesday, December 30th. B. Riley increased their price objective on shares of Applied Digital to $53.00 and gave the company a “buy” rating in a report on Friday, January 9th. HC Wainwright raised their price objective on shares of Applied Digital from $20.00 to $40.00 and gave the company a “buy” rating in a research note on Friday, October 10th. Freedom Capital upgraded shares of Applied Digital to a “strong-buy” rating in a research report on Tuesday, January 6th. Finally, Needham & Company LLC reissued a “buy” rating and issued a $41.00 price target on shares of Applied Digital in a research note on Thursday, January 8th. Three investment analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and one has given a Sell rating to the company’s stock. According to MarketBeat, Applied Digital currently has an average rating of “Buy” and a consensus target price of $34.73.

Applied Digital Price Performance

The firm has a market cap of $9.47 billion, a P/E ratio of -62.74 and a beta of 6.89. The company has a current ratio of 4.82, a quick ratio of 4.82 and a debt-to-equity ratio of 1.79. The company has a fifty day moving average price of $30.08 and a two-hundred day moving average price of $24.39.

Applied Digital (NASDAQ:APLD) last posted its quarterly earnings data on Wednesday, January 7th. The company reported ($0.11) EPS for the quarter, missing the consensus estimate of ($0.09) by ($0.02). The company had revenue of $126.59 million during the quarter, compared to the consensus estimate of $82.22 million. Applied Digital had a negative net margin of 43.49% and a negative return on equity of 13.53%. The company’s revenue was up 250.1% compared to the same quarter last year. During the same period in the prior year, the firm posted ($0.06) earnings per share. Equities analysts anticipate that Applied Digital Corporation will post -0.96 earnings per share for the current year.

Insider Buying and Selling at Applied Digital

In other news, Director Richard N. Nottenburg sold 12,000 shares of Applied Digital stock in a transaction that occurred on Thursday, January 15th. The shares were sold at an average price of $35.45, for a total value of $425,400.00. Following the sale, the director directly owned 233,378 shares in the company, valued at $8,273,250.10. This trade represents a 4.89% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Douglas S. Miller sold 10,000 shares of the stock in a transaction dated Monday, January 12th. The stock was sold at an average price of $38.54, for a total transaction of $385,400.00. Following the transaction, the director owned 200,859 shares of the company’s stock, valued at approximately $7,741,105.86. This represents a 4.74% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders have sold 198,606 shares of company stock worth $7,229,560. Corporate insiders own 9.50% of the company’s stock.

Institutional Investors Weigh In On Applied Digital

Institutional investors and hedge funds have recently made changes to their positions in the stock. Atlantic Union Bankshares Corp acquired a new stake in shares of Applied Digital in the 2nd quarter valued at approximately $25,000. Noble Wealth Management PBC bought a new stake in Applied Digital during the fourth quarter worth $25,000. Albion Financial Group UT acquired a new stake in Applied Digital in the fourth quarter valued at $25,000. Larson Financial Group LLC increased its stake in shares of Applied Digital by 56,450.0% during the 3rd quarter. Larson Financial Group LLC now owns 1,131 shares of the company’s stock worth $26,000 after purchasing an additional 1,129 shares during the last quarter. Finally, Northwestern Mutual Wealth Management Co. bought a new stake in shares of Applied Digital in the 2nd quarter valued at about $26,000. Institutional investors own 65.67% of the company’s stock.

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.