Applied Digital (NASDAQ:APLD) Trading 4.6% Higher – What’s Next?

Shares of Applied Digital Co. (NASDAQ:APLD) traded up 4.6% during mid-day trading on Friday . The company traded as high as $7.76 and last traded at $7.72. 8,323,286 shares traded hands during mid-day trading, a decline of 66% from the average session volume of 24,352,492 shares. The stock had previously closed at $7.38.

Analyst Upgrades and Downgrades

A number of equities research analysts have issued reports on the stock. HC Wainwright increased their target price on shares of Applied Digital from $10.00 to $12.00 and gave the stock a “buy” rating in a research report on Wednesday, January 15th. Compass Point began coverage on shares of Applied Digital in a research report on Tuesday. They issued a “buy” rating and a $10.00 target price for the company. Craig Hallum raised their price target on shares of Applied Digital from $10.00 to $12.00 and gave the company a “buy” rating in a report on Thursday, October 10th. Lake Street Capital raised their price target on shares of Applied Digital from $7.00 to $11.00 and gave the company a “buy” rating in a report on Thursday, October 10th. Finally, Needham & Company LLC restated a “buy” rating and set a $11.00 price target on shares of Applied Digital in a report on Wednesday, January 15th. Eight equities research analysts have rated the stock with a buy rating, According to MarketBeat, the stock has an average rating of “Buy” and a consensus price target of $11.13.

Applied Digital Stock Down 0.8 %

The stock has a market cap of $1.63 billion, a P/E ratio of -4.23 and a beta of 4.78. The company has a current ratio of 0.77, a quick ratio of 0.77 and a debt-to-equity ratio of 1.22. The firm’s fifty day moving average is $8.86 and its 200 day moving average is $7.09.

Applied Digital (NASDAQ:APLD) last posted its quarterly earnings results on Tuesday, January 14th. The company reported ($0.06) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.14) by $0.08. Applied Digital had a negative net margin of 127.86% and a negative return on equity of 117.67%. The company had revenue of $63.87 million for the quarter, compared to analyst estimates of $62.41 million. During the same period last year, the business posted ($0.05) EPS. The business’s quarterly revenue was up 51.3% on a year-over-year basis. As a group, equities research analysts forecast that Applied Digital Co. will post -0.96 EPS for the current year.

Insider Activity

In related news, Director Richard N. Nottenburg sold 19,369 shares of Applied Digital stock in a transaction dated Thursday, November 7th. The shares were sold at an average price of $7.51, for a total transaction of $145,461.19. Following the completion of the transaction, the director now directly owns 384,317 shares of the company’s stock, valued at $2,886,220.67. This trade represents a 4.80 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CEO Wes Cummins sold 200,000 shares of Applied Digital stock in a transaction dated Wednesday, November 27th. The shares were sold at an average price of $9.20, for a total transaction of $1,840,000.00. Following the transaction, the chief executive officer now directly owns 3,875,955 shares of the company’s stock, valued at $35,658,786. This represents a 4.91 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 289,369 shares of company stock worth $2,622,461. Corporate insiders own 11.81% of the company’s stock.

Hedge Funds Weigh In On Applied Digital

Several institutional investors have recently added to or reduced their stakes in the company. Atria Wealth Solutions Inc. bought a new position in Applied Digital during the 4th quarter valued at about $149,000. Principal Financial Group Inc. raised its stake in shares of Applied Digital by 44.2% in the fourth quarter. Principal Financial Group Inc. now owns 14,542 shares of the company’s stock worth $111,000 after acquiring an additional 4,459 shares during the last quarter. Rhumbline Advisers raised its stake in shares of Applied Digital by 68.7% in the fourth quarter. Rhumbline Advisers now owns 258,892 shares of the company’s stock worth $1,978,000 after acquiring an additional 105,428 shares during the last quarter. Vontobel Holding Ltd. raised its stake in shares of Applied Digital by 9.8% in the fourth quarter. Vontobel Holding Ltd. now owns 16,735 shares of the company’s stock worth $128,000 after acquiring an additional 1,500 shares during the last quarter. Finally, Van ECK Associates Corp raised its stake in shares of Applied Digital by 113.8% in the fourth quarter. Van ECK Associates Corp now owns 4,404,313 shares of the company’s stock worth $33,649,000 after acquiring an additional 2,344,572 shares during the last quarter. 65.67% of the stock is owned by institutional investors.

About Applied Digital

Applied Digital Corporation designs, develops, and operates datacenters in North America. Its datacenters provide digital infrastructure solutions to the high-performance computing industry. The company also provides artificial intelligence cloud services, high performance computing datacenter hosting, and crypto datacenter hosting services.