Applied Digital (NASDAQ:APLD) Stock Price Down 4.9% – Should You Sell?

Applied Digital Co. (NASDAQ:APLD) fell 4.9% during mid-day trading on Friday . The stock traded as low as $8.01 and last traded at $8.28. 5,409,452 shares changed hands during mid-day trading, a decline of 62% from the average session volume of 14,062,823 shares. The stock had previously closed at $8.71.

Wall Street Analyst Weigh In

A number of research firms have recently commented on APLD. Cantor Fitzgerald started coverage on Applied Digital in a research report on Friday, December 20th. They set an “overweight” rating and a $15.00 target price on the stock. Roth Mkm restated a “buy” rating and set a $10.00 target price on shares of Applied Digital in a research report on Thursday, October 10th. Needham & Company LLC reiterated a “buy” rating and issued a $11.00 price target on shares of Applied Digital in a research report on Friday, November 1st. Craig Hallum raised their price objective on shares of Applied Digital from $10.00 to $12.00 and gave the stock a “buy” rating in a research report on Thursday, October 10th. Finally, Lake Street Capital upped their target price 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. Seven research analysts have rated the stock with a buy rating, Based on data from MarketBeat.com, the company presently has a consensus rating of “Buy” and a consensus target price of $11.14.

Applied Digital Trading Down 5.1 %

The firm has a market cap of $1.75 billion, a PE ratio of -7.07 and a beta of 4.78. The company’s fifty day moving average price is $8.62 and its two-hundred day moving average price is $6.89. The company has a quick ratio of 0.22, a current ratio of 0.22 and a debt-to-equity ratio of 0.62.

Applied Digital (NASDAQ:APLD) last announced 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 analyst estimates 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 in the previous year, the company earned ($0.10) EPS. As a group, sell-side analysts forecast that Applied Digital Co. will post -0.4 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, CEO Wes Cummins sold 200,000 shares of the firm’s stock in a transaction that occurred on 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 transaction, the chief executive officer now directly owns 3,875,955 shares of the company’s stock, valued at $35,658,786. This trade represents a 4.91 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Douglas S. Miller sold 10,000 shares of the business’s stock in a transaction dated Thursday, October 17th. The stock was sold at an average price of $8.01, for a total transaction of $80,100.00. Following the completion of the sale, the director now owns 208,506 shares in the company, valued at $1,670,133.06. This represents a 4.58 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 359,369 shares of company stock valued at $3,115,161 over the last quarter. Company insiders own 11.81% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the stock. Headlands Technologies LLC increased its position in 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 buying an additional 6,933 shares in the last quarter. Zurcher Kantonalbank Zurich Cantonalbank acquired a new stake in shares of Applied Digital during the third quarter valued at $59,000. Beacon Harbor Wealth Advisors Inc. purchased a new stake in Applied Digital during the 3rd quarter worth about $83,000. Wealth Enhancement Advisory Services LLC acquired a new position in Applied Digital in the 3rd quarter valued at about $88,000. Finally, Chesapeake Capital Corp IL purchased a new position in Applied Digital in the 3rd quarter valued at about $94,000. 65.67% of the stock is currently owned by institutional investors and hedge funds.

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.