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

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

Wall Street Analyst Weigh In

APLD has been the topic of a number of research analyst reports. HC Wainwright increased their price target on shares of Applied Digital from $5.00 to $10.00 and gave the stock a “buy” rating in a report on Wednesday, October 16th. Roth Mkm restated a “buy” rating and set a $10.00 price target on shares of Applied Digital in a research report on Thursday, October 10th. Lake Street Capital raised their price objective on Applied Digital from $7.00 to $11.00 and gave the company a “buy” rating in a report on Thursday, October 10th. B. Riley increased their price target on shares of Applied Digital from $8.00 to $9.00 and gave the company a “buy” rating in a research report on Friday, September 13th. Finally, Craig Hallum increased their target price on shares of Applied Digital from $10.00 to $12.00 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, According to MarketBeat, Applied Digital presently has an average rating of “Buy” and a consensus price target of $11.14.

Applied Digital Stock Up 10.7 %

The firm has a market cap of $1.85 billion, a PE ratio of -7.50 and a beta of 4.67. The company has a debt-to-equity ratio of 0.62, a quick ratio of 0.22 and a current ratio of 0.22. The company’s 50-day simple moving average is $8.50 and its two-hundred day simple moving average is $6.60.

Applied Digital (NASDAQ:APLD) last posted its earnings results on Wednesday, October 9th. The company reported ($0.15) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.28) by $0.13. Applied Digital had a negative net margin of 74.95% and a negative return on equity of 88.87%. The company had revenue of $60.70 million during the quarter, compared to analyst estimates of $54.85 million. During the same period in the prior year, the business posted ($0.10) earnings per share. Applied Digital’s revenue for the quarter was up 67.2% on a year-over-year basis. On average, analysts predict that Applied Digital Co. will post -0.4 earnings per share for the current fiscal year.

Insider Activity

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

Institutional Investors Weigh In On Applied Digital

Several hedge funds have recently made changes to their positions in the company. Wellington Management Group LLP lifted its position in Applied Digital by 8.8% during the third quarter. Wellington Management Group LLP now owns 37,411 shares of the company’s stock valued at $309,000 after buying an additional 3,040 shares during the period. The Manufacturers Life Insurance Company increased its stake in shares of Applied Digital by 14.4% in the 3rd quarter. The Manufacturers Life Insurance Company now owns 43,064 shares of the company’s stock worth $355,000 after acquiring an additional 5,423 shares in the last quarter. FMR LLC lifted its position in Applied Digital by 99.1% during the 3rd quarter. FMR LLC now owns 13,071 shares of the company’s stock valued at $108,000 after acquiring an additional 6,507 shares during the period. ICA Group Wealth Management LLC boosted 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 worth $112,000 after acquiring an additional 6,795 shares in the last quarter. Finally, Headlands Technologies LLC grew its holdings in Applied Digital by 381.8% in the second quarter. Headlands Technologies LLC now owns 8,749 shares of the company’s stock worth $52,000 after purchasing an additional 6,933 shares during the period. 65.67% of the stock is currently owned by institutional investors.

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.