Applied Digital (NASDAQ:APLD) Stock Price Up 6.9% – Here’s Why

Applied Digital Co. (NASDAQ:APLD) shot up 6.9% during trading on Tuesday . The stock traded as high as $8.49 and last traded at $8.47. 3,998,566 shares were traded during mid-day trading, a decline of 54% from the average session volume of 8,617,928 shares. The stock had previously closed at $7.92.

Analysts Set New Price Targets

A number of equities research analysts recently commented on the stock. B. Riley upped their price target on shares of Applied Digital from $8.00 to $9.00 and gave the company a “buy” rating in a report on Friday, September 13th. Craig Hallum upped their price objective 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. Roth Mkm reissued a “buy” rating and issued a $10.00 target price on shares of Applied Digital in a research note on Thursday, October 10th. Cantor Fitzgerald initiated coverage on Applied Digital in a research report on Friday. They set an “overweight” rating and a $15.00 price target for the company. Finally, Lake Street Capital lifted their price objective on Applied Digital from $7.00 to $11.00 and gave the stock a “buy” rating in a research report on Thursday, October 10th. Seven investment analysts have rated the stock with a buy rating, According to MarketBeat, Applied Digital presently has a consensus rating of “Buy” and an average target price of $11.14.

Applied Digital Price Performance

The stock has a market cap of $1.83 billion, a PE ratio of -7.40 and a beta of 4.67. 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 business has a fifty day simple moving average of $8.47 and a two-hundred day simple moving average of $6.57.

Applied Digital (NASDAQ:APLD) last posted its quarterly earnings results on Wednesday, October 9th. The company reported ($0.15) earnings per share for the quarter, topping the consensus estimate 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 quarterly revenue was up 67.2% compared to the same quarter last year. During the same quarter in the prior year, the business posted ($0.10) EPS. Research analysts forecast that Applied Digital Co. will post -0.4 earnings per share for the current year.

Insider Transactions at Applied Digital

In related news, CEO Wes Cummins sold 200,000 shares of the company’s stock in a transaction on Wednesday, November 27th. The stock was sold at an average price of $9.20, for a total transaction of $1,840,000.00. Following the completion of the sale, the chief executive officer now owns 3,875,955 shares in the company, valued at approximately $35,658,786. This represents a 4.91 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Douglas S. Miller sold 10,000 shares of the company’s stock in a transaction dated Thursday, October 17th. The shares were sold at an average price of $8.01, for a total transaction of $80,100.00. Following the sale, the director now directly owns 208,506 shares of the company’s stock, valued at $1,670,133.06. The trade was a 4.58 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 359,369 shares of company stock valued at $3,115,161 in the last quarter. 11.81% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in APLD. Wellington Management Group LLP lifted its position in shares of Applied Digital by 8.8% in the third quarter. Wellington Management Group LLP now owns 37,411 shares of the company’s stock valued at $309,000 after acquiring an additional 3,040 shares in the last quarter. The Manufacturers Life Insurance Company grew its holdings in shares of Applied Digital by 14.4% in the third quarter. The Manufacturers Life Insurance Company now owns 43,064 shares of the company’s stock valued at $355,000 after purchasing an additional 5,423 shares in the last quarter. FMR LLC increased its position in Applied Digital by 99.1% in the third quarter. FMR LLC now owns 13,071 shares of the company’s stock worth $108,000 after purchasing an additional 6,507 shares during the last quarter. ICA Group Wealth Management LLC raised its stake in Applied Digital by 56.8% during the second quarter. ICA Group Wealth Management LLC now owns 18,750 shares of the company’s stock valued at $112,000 after purchasing an additional 6,795 shares in the last quarter. Finally, Headlands Technologies LLC lifted 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 valued at $52,000 after purchasing an additional 6,933 shares during the last quarter. 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.