Applied Digital (NASDAQ:APLD) Shares Down 5.6% Following Insider Selling

Applied Digital Co. (NASDAQ:APLD)’s stock price traded down 5.6% during mid-day trading on Monday after an insider sold shares in the company. The company traded as low as $7.68 and last traded at $7.72. 2,811,276 shares changed hands during trading, a decline of 59% from the average session volume of 6,794,583 shares. The stock had previously closed at $8.18.

Specifically, Director Douglas S. Miller sold 10,000 shares of the stock in a transaction that occurred on Thursday, October 17th. The shares were sold at an average price of $8.01, for a total value of $80,100.00. Following the completion of the transaction, the director now directly owns 208,506 shares of the company’s stock, valued at $1,670,133.06. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Richard N. Nottenburg sold 80,000 shares of the business’s stock in a transaction that occurred on Monday, October 14th. The stock was sold at an average price of $7.37, for a total transaction of $589,600.00. Following the sale, the director now directly owns 433,686 shares in the company, valued at approximately $3,196,265.82. This represents a 0.00 % decrease in their position. The disclosure for this sale can be found here.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently commented on APLD shares. Craig Hallum lifted their price objective on shares of Applied Digital from $10.00 to $12.00 and gave the stock a “buy” rating in a research note on Thursday, October 10th. Lake Street Capital boosted their price target on Applied Digital from $7.00 to $11.00 and gave the company a “buy” rating in a research note on Thursday, October 10th. HC Wainwright raised their price objective on Applied Digital from $5.00 to $10.00 and gave the stock a “buy” rating in a research note on Wednesday, October 16th. B. Riley upped their target price on Applied Digital from $8.00 to $9.00 and gave the company a “buy” rating in a research report on Friday, September 13th. Finally, Needham & Company LLC reissued a “buy” rating and set a $11.00 price target on shares of Applied Digital in a research report on Thursday, October 17th. Six research analysts have rated the stock with a buy rating, According to MarketBeat, the stock currently has an average rating of “Buy” and a consensus target price of $10.50.

Applied Digital Stock Performance

The stock has a market capitalization of $1.18 billion, a price-to-earnings ratio of -10.59 and a beta of 4.56. The firm has a fifty day moving average of $6.12 and a 200 day moving average of $5.01. The company has a debt-to-equity ratio of 1.14, a current ratio of 0.08 and a quick ratio of 0.08.

Applied Digital (NASDAQ:APLD) last posted its earnings results on Wednesday, October 9th. The company reported ($0.15) earnings per share for the quarter, beating the consensus estimate of ($0.28) by $0.13. Applied Digital had a negative net margin of 74.95% and a negative return on equity of 107.05%. The firm had revenue of $60.70 million during the quarter, compared to analyst estimates of $54.85 million. During the same period in the previous year, the firm earned ($0.10) EPS. The business’s quarterly revenue was up 67.2% on a year-over-year basis. On average, sell-side analysts anticipate that Applied Digital Co. will post -1.12 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. Principal Financial Group Inc. purchased a new position in shares of Applied Digital in the 1st quarter valued at about $50,000. Headlands Technologies LLC increased its position in shares of Applied Digital by 381.8% in the second quarter. Headlands Technologies LLC now owns 8,749 shares of the company’s stock valued at $52,000 after buying an additional 6,933 shares in the last quarter. ARS Investment Partners LLC acquired a new position in shares of Applied Digital during the 2nd quarter worth approximately $60,000. Price T Rowe Associates Inc. MD lifted its position in shares of Applied Digital by 15.3% during the 1st quarter. Price T Rowe Associates Inc. MD now owns 24,018 shares of the company’s stock valued at $103,000 after buying an additional 3,182 shares in the last quarter. Finally, Crumly & Associates Inc. acquired a new stake in Applied Digital in the 2nd quarter valued at $110,000. Institutional investors and hedge funds own 65.67% of the company’s stock.

Applied Digital Company Profile

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.