Applied Digital (NASDAQ:APLD) Releases Quarterly Earnings Results, Beats Estimates By $0.08 EPS

Applied Digital (NASDAQ:APLD) released its earnings results on Tuesday. The company reported ($0.06) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.14) by $0.08, Briefing.com reports. Applied Digital had a negative return on equity of 88.87% and a negative net margin of 74.95%. The company had revenue of $63.87 million during the quarter, compared to analyst estimates of $62.41 million. During the same quarter in the previous year, the company posted ($0.05) EPS. Applied Digital’s revenue for the quarter was up 51.3% on a year-over-year basis.

Applied Digital Stock Up 9.9 %

APLD traded up $0.77 on Tuesday, hitting $8.54. The company had a trading volume of 67,628,182 shares, compared to its average volume of 21,824,191. Applied Digital has a 52-week low of $2.36 and a 52-week high of $11.25. The stock has a fifty day simple moving average of $8.70 and a 200-day simple moving average of $6.92. The company has a debt-to-equity ratio of 0.62, a current ratio of 0.22 and a quick ratio of 0.22. The firm has a market capitalization of $1.80 billion, a P/E ratio of -7.30 and a beta of 4.78.

Insiders Place Their Bets

In related news, CEO Wes Cummins sold 200,000 shares of the business’s stock in a transaction dated 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 sale, the chief executive officer now owns 3,875,955 shares of the company’s stock, valued at $35,658,786. The trade was a 4.91 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, Director Richard N. Nottenburg sold 50,000 shares of the company’s stock in a transaction dated Wednesday, November 27th. The stock was sold at an average price of $9.20, for a total transaction of $460,000.00. Following the completion of the sale, the director now owns 334,317 shares in the company, valued at approximately $3,075,716.40. This trade represents a 13.01 % decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders have sold 279,369 shares of company stock worth $2,525,561. Company insiders own 11.81% of the company’s stock.

Wall Street Analyst Weigh In

Several analysts have weighed in on the company. HC Wainwright boosted their price objective on Applied Digital from $5.00 to $10.00 and gave the company a “buy” rating in a research report on Wednesday, October 16th. Lake Street Capital raised their price target on shares of Applied Digital from $7.00 to $11.00 and gave the stock a “buy” rating in a report on Thursday, October 10th. Needham & Company LLC reaffirmed a “buy” rating and set a $11.00 price objective on shares of Applied Digital in a research note on Friday, November 1st. 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. Finally, 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. 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 $11.14.

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.