Applied Digital (NASDAQ:APLD) Stock Price Down 1.1% – Here’s Why

Applied Digital Co. (NASDAQ:APLD) shares fell 1.1% during mid-day trading on Tuesday . The company traded as low as $9.21 and last traded at $9.68. 6,305,239 shares were traded during trading, a decline of 55% from the average session volume of 13,864,221 shares. The stock had previously closed at $9.79.

Wall Street Analyst Weigh In

A number of equities research analysts recently weighed in on the stock. Lake Street Capital lifted their price objective 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. Needham & Company LLC reaffirmed a “buy” rating and set a $11.00 price target on shares of Applied Digital in a research note on Friday, November 1st. Craig Hallum boosted their price target on Applied Digital from $10.00 to $12.00 and gave the company a “buy” rating in a report on Thursday, October 10th. Roth Mkm restated a “buy” rating and set a $10.00 price objective on shares of Applied Digital 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 investment analysts have rated the stock with a buy rating, According to data from MarketBeat.com, the company currently has an average rating of “Buy” and an average target price of $11.14.

Applied Digital Price Performance

The firm has a 50-day simple moving average of $8.58 and a 200-day simple moving average of $6.87. The firm has a market cap of $1.84 billion, a P/E ratio of -7.44 and a beta of 4.78. The company has a current ratio of 0.22, a quick ratio of 0.22 and a debt-to-equity ratio of 0.62.

Applied Digital (NASDAQ:APLD) last issued its quarterly earnings data on Wednesday, October 9th. The company reported ($0.15) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.28) by $0.13. The company had revenue of $60.70 million for 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 firm’s revenue for the quarter was up 67.2% compared to the same quarter last year. During the same quarter last year, the company earned ($0.10) earnings per share. As a group, analysts forecast that Applied Digital Co. will post -0.4 EPS for the current year.

Insider Activity

In other Applied Digital news, Director Richard N. Nottenburg sold 80,000 shares of the stock in a transaction dated Monday, October 14th. The stock was sold at an average price of $7.37, for a total value of $589,600.00. Following the completion of the sale, the director now directly owns 433,686 shares in the company, valued at approximately $3,196,265.82. This trade represents a 15.57 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CEO Wes Cummins sold 200,000 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 $1,840,000.00. Following the completion of the sale, the chief executive officer now directly owns 3,875,955 shares of the company’s stock, valued at approximately $35,658,786. This represents a 4.91 % decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 359,369 shares of company stock worth $3,115,161. Corporate insiders own 11.81% of the company’s stock.

Hedge Funds Weigh In On Applied Digital

Several hedge funds and other institutional investors have recently modified their holdings of the stock. Geode Capital Management LLC grew its position in Applied Digital by 48.7% during the 3rd quarter. Geode Capital Management LLC now owns 3,061,160 shares of the company’s stock worth $25,258,000 after purchasing an additional 1,002,862 shares during the last quarter. Hood River Capital Management LLC lifted its stake in shares of Applied Digital by 8.7% during the second quarter. Hood River Capital Management LLC now owns 9,596,231 shares of the company’s stock worth $57,098,000 after buying an additional 771,699 shares during the period. Alight Capital Management LP purchased a new stake in shares of Applied Digital during the second quarter valued at $3,570,000. Barclays PLC increased its position in shares of Applied Digital by 736.8% in the 3rd quarter. Barclays PLC now owns 486,577 shares of the company’s stock valued at $4,014,000 after acquiring an additional 428,428 shares during the period. Finally, Thomist Capital Management LP purchased a new position in Applied Digital in the 2nd quarter worth $2,529,000. 65.67% of the stock is owned by hedge funds and other institutional investors.

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.