Investors Buy High Volume of Call Options on Applied Digital (NASDAQ:APLD)

Applied Digital Co. (NASDAQ:APLD) was the target of unusually large options trading on Tuesday. Stock investors purchased 65,032 call options on the company. This represents an increase of approximately 171% compared to the typical volume of 23,995 call options.

Analyst Ratings Changes

APLD has been the topic of a number of recent analyst reports. 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. Lake Street Capital upped their target price on Applied Digital from $7.00 to $11.00 and gave the company a “buy” rating in a research report on Thursday, October 10th. Needham & Company LLC reaffirmed a “buy” rating and issued a $11.00 target price on shares of Applied Digital in a research report on Thursday, October 17th. Craig Hallum upped their target price on Applied Digital from $10.00 to $12.00 and gave the company a “buy” rating in a research report on Thursday, October 10th. Finally, Roth Mkm reaffirmed a “buy” rating and issued a $10.00 target price on shares of Applied Digital in a research report on Thursday, October 10th. Six research analysts have rated the stock with a buy rating, According to data from MarketBeat.com, Applied Digital has a consensus rating of “Buy” and a consensus price target of $10.50.

Insider Transactions at Applied Digital

In other news, Director Douglas S. Miller sold 10,000 shares of the business’s stock in a transaction dated Thursday, September 5th. The stock was sold at an average price of $5.50, for a total transaction of $55,000.00. Following the completion of the sale, the director now owns 218,506 shares in the company, valued at approximately $1,201,783. The trade was a 0.00 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. In related news, 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 transaction, the director now directly owns 433,686 shares of the company’s stock, valued at approximately $3,196,265.82. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, Director Douglas S. Miller sold 10,000 shares of the business’s stock in a transaction that occurred on Thursday, September 5th. The stock was sold at an average price of $5.50, for a total value of $55,000.00. Following the transaction, the director now directly owns 218,506 shares in the company, valued at $1,201,783. This trade represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders sold 100,000 shares of company stock worth $724,700. 20.50% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in APLD. Principal Financial Group Inc. bought a new position in Applied Digital during the 1st quarter worth $50,000. Headlands Technologies LLC grew its stake in Applied Digital by 381.8% during the 2nd quarter. Headlands Technologies LLC now owns 8,749 shares of the company’s stock worth $52,000 after buying an additional 6,933 shares during the last quarter. ARS Investment Partners LLC bought a new position in shares of Applied Digital in the second quarter worth $60,000. Price T Rowe Associates Inc. MD grew its stake in shares of Applied Digital by 15.3% in the first quarter. Price T Rowe Associates Inc. MD now owns 24,018 shares of the company’s stock worth $103,000 after purchasing an additional 3,182 shares in the last quarter. Finally, Crumly & Associates Inc. bought a new position in shares of Applied Digital in the second quarter worth $110,000. 65.67% of the stock is currently owned by institutional investors.

Applied Digital Stock Performance

APLD stock opened at $8.61 on Thursday. The company has a current ratio of 0.08, a quick ratio of 0.08 and a debt-to-equity ratio of 1.14. The firm has a market cap of $1.18 billion, a P/E ratio of -10.90 and a beta of 4.56. Applied Digital has a 12-month low of $2.36 and a 12-month high of $9.48. The stock’s 50 day simple moving average is $6.21 and its 200 day simple moving average is $5.03.

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

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.