Applied Digital (NASDAQ:APLD) Shares Down 4.9% – Here’s What Happened

Applied Digital Co. (NASDAQ:APLD) shares fell 4.9% during trading on Monday . The stock traded as low as $7.46 and last traded at $7.88. 6,473,860 shares were traded during mid-day trading, a decline of 54% from the average session volume of 14,163,714 shares. The stock had previously closed at $8.29.

Analysts Set New Price Targets

Several brokerages have recently commented on APLD. HC Wainwright increased their price objective on Applied Digital from $10.00 to $12.00 and gave the company a “buy” rating in a report on Wednesday. Needham & Company LLC reiterated a “buy” rating and issued a $11.00 price objective on shares of Applied Digital in a research note on Wednesday. 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 report on Thursday, October 10th. Cantor Fitzgerald lowered their target price on shares of Applied Digital from $15.00 to $14.00 and set an “overweight” rating on the stock in a research note on Wednesday. Finally, Craig Hallum lifted their price target on shares of Applied Digital from $10.00 to $12.00 and gave the company a “buy” rating in a research note on Thursday, October 10th. Seven investment analysts have rated the stock with a buy rating, According to MarketBeat.com, Applied Digital presently has an average rating of “Buy” and a consensus target price of $11.29.

Applied Digital Stock Down 2.0 %

The company has a current ratio of 0.22, a quick ratio of 0.22 and a debt-to-equity ratio of 0.62. The firm has a 50 day simple moving average of $8.74 and a two-hundred day simple moving average of $6.94. The company has a market capitalization of $1.77 billion, a PE ratio of -7.15 and a beta of 4.78.

Applied Digital (NASDAQ:APLD) last released its 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. The company had revenue of $63.87 million for the quarter, compared to analysts’ expectations of $62.41 million. Applied Digital had a negative return on equity of 88.87% and a negative net margin of 74.95%. The firm’s quarterly revenue was up 51.3% on a year-over-year basis. During the same quarter in the previous year, the firm posted ($0.05) EPS. Research analysts expect that Applied Digital Co. will post -0.4 EPS for the current year.

Insider Buying and Selling at Applied Digital

In related news, Director Richard N. Nottenburg sold 19,369 shares of the firm’s stock in a transaction that occurred on Thursday, November 7th. The shares were sold at an average price of $7.51, for a total value of $145,461.19. Following the sale, the director now directly owns 384,317 shares of the company’s stock, valued at approximately $2,886,220.67. This trade represents a 4.80 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Wes Cummins sold 200,000 shares of Applied Digital stock in a transaction on 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 completion of the transaction, the chief executive officer now owns 3,875,955 shares in the company, valued at approximately $35,658,786. This trade represents a 4.91 % decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders sold 279,369 shares of company stock worth $2,525,561. 11.81% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the business. Charles Schwab Investment Management Inc. raised its stake in shares of Applied Digital by 36.5% during the third quarter. Charles Schwab Investment Management Inc. now owns 899,293 shares of the company’s stock valued at $7,419,000 after purchasing an additional 240,554 shares during the period. Quadrature Capital Ltd acquired a new stake in Applied Digital during the 3rd quarter valued at $545,000. Barclays PLC increased its stake in Applied Digital by 736.8% during the 3rd quarter. Barclays PLC now owns 486,577 shares of the company’s stock worth $4,014,000 after buying an additional 428,428 shares during the period. Virtu Financial LLC acquired a new position in Applied Digital in the 3rd quarter worth $2,030,000. Finally, B. Riley Wealth Advisors Inc. boosted its position in Applied Digital by 66.1% in the 2nd quarter. B. Riley Wealth Advisors Inc. now owns 774,655 shares of the company’s stock valued at $4,609,000 after buying an additional 308,223 shares during the last quarter. 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.