Applied Digital (NASDAQ:APLD) Stock Price Down 0.6% – Should You Sell?

Applied Digital Co. (NASDAQ:APLD)’s share price dropped 0.6% on Thursday . The stock traded as low as $9.56 and last traded at $9.89. Approximately 14,920,338 shares traded hands during mid-day trading, a decline of 38% from the average daily volume of 24,078,941 shares. The stock had previously closed at $9.95.

Wall Street Analysts Forecast Growth

A number of analysts recently weighed in on APLD shares. Cantor Fitzgerald decreased their price objective on Applied Digital from $15.00 to $14.00 and set an “overweight” rating for the company in a report on Wednesday, January 15th. HC Wainwright raised their price objective on Applied Digital from $10.00 to $12.00 and gave the stock a “buy” rating in a research report on Wednesday, January 15th. Northland Securities increased their target price on shares of Applied Digital from $12.00 to $20.00 and gave the company an “outperform” rating in a research report on Tuesday, February 4th. Compass Point started coverage on shares of Applied Digital in a research note on Tuesday, January 28th. They set a “buy” rating and a $10.00 target price for the company. Finally, Needham & Company LLC reaffirmed a “buy” rating and set a $11.00 price target on shares of Applied Digital in a research report on Wednesday, January 15th. Nine equities research analysts have rated the stock with a buy rating, Based on data from MarketBeat.com, Applied Digital presently has a consensus rating of “Buy” and a consensus price target of $12.11.

Applied Digital Stock Performance

The company has a market capitalization of $2.37 billion, a price-to-earnings ratio of -6.16 and a beta of 4.77. The company has a 50 day moving average price of $8.45 and a 200 day moving average price of $7.43. The company has a debt-to-equity ratio of 1.22, a quick ratio of 0.77 and a current ratio of 0.77.

Applied Digital (NASDAQ:APLD) last released its quarterly earnings data on Tuesday, January 14th. The company reported ($0.06) EPS for the quarter, beating the consensus estimate of ($0.14) by $0.08. Applied Digital had a negative return on equity of 117.67% and a negative net margin of 127.86%. The firm had revenue of $63.87 million during the quarter, compared to the consensus estimate of $62.41 million. During the same quarter in the previous year, the company posted ($0.05) earnings per share. The company’s quarterly revenue was up 51.3% on a year-over-year basis. Equities research analysts predict that Applied Digital Co. will post -0.96 earnings per share for the current fiscal year.

Insider Activity

In other Applied Digital news, CEO Wes Cummins sold 200,000 shares of the business’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 transaction 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. The trade was a 4.91 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Richard N. Nottenburg sold 20,000 shares of the firm’s stock in a transaction that occurred on Friday, January 17th. The shares were sold at an average price of $8.85, for a total value of $177,000.00. Following the completion of the transaction, the director now owns 342,923 shares in the company, valued at $3,034,868.55. This represents a 5.51 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 270,000 shares of company stock worth $2,477,000 over the last three months. 11.81% of the stock is currently owned by insiders.

Institutional Trading of Applied Digital

Several institutional investors have recently made changes to their positions in the company. Vanguard Group Inc. increased its stake in Applied Digital by 39.1% in the 4th quarter. Vanguard Group Inc. now owns 12,760,035 shares of the company’s stock valued at $97,487,000 after buying an additional 3,587,619 shares during the last quarter. Van ECK Associates Corp lifted its holdings in Applied Digital by 113.8% during the fourth quarter. Van ECK Associates Corp now owns 4,404,313 shares of the company’s stock worth $33,649,000 after acquiring an additional 2,344,572 shares during the period. Tidal Investments LLC boosted its position in Applied Digital by 14,635.7% in the fourth quarter. Tidal Investments LLC now owns 1,697,850 shares of the company’s stock worth $12,972,000 after purchasing an additional 1,686,328 shares during the last quarter. American Century Companies Inc. bought a new position in Applied Digital in the 4th quarter valued at $12,843,000. Finally, Geode Capital Management LLC raised its stake in shares of Applied Digital by 54.4% during the 4th quarter. Geode Capital Management LLC now owns 4,726,495 shares of the company’s stock worth $36,117,000 after purchasing an additional 1,665,335 shares during the period. Institutional investors own 65.67% of the company’s stock.

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.