Applied Digital (NASDAQ:APLD) Trading Down 4.1% – Here’s What Happened

Applied Digital Co. (NASDAQ:APLD)’s share price fell 4.1% during mid-day trading on Wednesday . The company traded as low as $7.50 and last traded at $7.64. 10,571,872 shares changed hands during mid-day trading, an increase of 21% from the average session volume of 8,718,619 shares. The stock had previously closed at $7.97.

Wall Street Analyst Weigh In

A number of equities analysts recently weighed in on APLD shares. Roth Mkm reaffirmed a “buy” rating and set a $10.00 price objective on shares of Applied Digital in a research report on Thursday, October 10th. B. Riley raised their price target on Applied Digital from $8.00 to $9.00 and gave the stock a “buy” rating in a research report on Friday, September 13th. Needham & Company LLC reiterated a “buy” rating and issued a $11.00 price objective on shares of Applied Digital in a report on Friday, November 1st. Craig Hallum raised their target price on Applied Digital from $10.00 to $12.00 and gave the company a “buy” rating in a report on Thursday, October 10th. Finally, HC Wainwright lifted their target price on Applied Digital from $5.00 to $10.00 and gave the company a “buy” rating in a research report on Wednesday, October 16th. Seven analysts have rated the stock with a buy rating, According to MarketBeat.com, the stock presently has a consensus rating of “Buy” and an average price target of $11.14.

Applied Digital Price Performance

The company has a 50 day moving average of $8.48 and a 200 day moving average of $6.76. The company has a debt-to-equity ratio of 0.62, a quick ratio of 0.22 and a current ratio of 0.22. The stock has a market capitalization of $1.65 billion, a price-to-earnings ratio of -6.67 and a beta of 4.67.

Applied Digital (NASDAQ:APLD) last announced its quarterly earnings data on Wednesday, October 9th. The company reported ($0.15) EPS for the quarter, topping analysts’ consensus estimates of ($0.28) by $0.13. The business had revenue of $60.70 million during the quarter, compared to the consensus estimate of $54.85 million. Applied Digital had a negative return on equity of 88.87% and a negative net margin of 74.95%. The business’s revenue for the quarter was up 67.2% on a year-over-year basis. During the same period in the previous year, the company posted ($0.10) earnings per share. As a group, equities research analysts anticipate that Applied Digital Co. will post -0.4 EPS for the current year.

Insider Buying and Selling at Applied Digital

In other news, Director Douglas S. Miller sold 10,000 shares of the company’s stock in a transaction 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 owns 208,506 shares in the company, valued at approximately $1,670,133.06. This represents a 4.58 % decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, Director Richard N. Nottenburg sold 50,000 shares of the firm’s stock in a transaction dated Wednesday, November 27th. The stock was sold at an average price of $9.20, for a total value of $460,000.00. Following the transaction, the director now directly owns 334,317 shares in the company, valued at approximately $3,075,716.40. The trade was a 13.01 % decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders have sold 359,369 shares of company stock valued at $3,115,161. Insiders own 11.81% of the company’s stock.

Institutional Trading of Applied Digital

Hedge funds have recently added to or reduced their stakes in the stock. Headlands Technologies LLC raised its stake in shares of Applied Digital by 381.8% during the second quarter. Headlands Technologies LLC now owns 8,749 shares of the company’s stock worth $52,000 after purchasing an additional 6,933 shares during the last quarter. Zurcher Kantonalbank Zurich Cantonalbank purchased a new position in Applied Digital during the 3rd quarter worth $59,000. Beacon Harbor Wealth Advisors Inc. acquired a new stake in shares of Applied Digital in the 3rd quarter worth $83,000. Wealth Enhancement Advisory Services LLC purchased a new stake in shares of Applied Digital in the third quarter valued at about $88,000. Finally, Chesapeake Capital Corp IL acquired a new position in shares of Applied Digital during the third quarter worth about $94,000. 65.67% of the stock is owned by institutional investors and hedge funds.

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.