Applied Digital (NASDAQ:APLD) Stock Price Down 10.1% – What’s Next?

Applied Digital Co. (NASDAQ:APLD)’s stock price was down 10.1% during trading on Monday . The stock traded as low as $7.41 and last traded at $7.54. Approximately 7,410,796 shares traded hands during mid-day trading, a decline of 15% from the average daily volume of 8,673,314 shares. The stock had previously closed at $8.39.

Analyst Upgrades and Downgrades

Several equities analysts have recently issued reports on APLD shares. Roth Mkm reiterated a “buy” rating and set a $10.00 price objective on shares of Applied Digital in a research report on Thursday, October 10th. Needham & Company LLC reiterated a “buy” rating and set a $11.00 price target on shares of Applied Digital in a research report on Friday, November 1st. Cantor Fitzgerald started coverage on Applied Digital in a report on Friday, December 20th. They set an “overweight” rating and a $15.00 price target on the stock. B. Riley increased their target price 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, Lake Street Capital raised their target price on shares of Applied Digital from $7.00 to $11.00 and gave the company a “buy” rating in a research note on Thursday, October 10th. Seven research analysts have rated the stock with a buy rating, According to data from MarketBeat, the company presently has a consensus rating of “Buy” and a consensus target price of $11.14.

Applied Digital Trading Down 4.1 %

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 business has a fifty day moving average of $8.50 and a 200-day moving average of $6.75. The stock has a market capitalization of $1.61 billion, a price-to-earnings ratio of -6.53 and a beta of 4.67.

Applied Digital (NASDAQ:APLD) last announced its quarterly earnings data on Wednesday, October 9th. The company reported ($0.15) earnings per share (EPS) for the quarter, topping the consensus estimate 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 for the quarter, compared to analysts’ expectations of $54.85 million. During the same quarter in the previous year, the company posted ($0.10) EPS. The business’s revenue was up 67.2% compared to the same quarter last year. On average, equities analysts anticipate that Applied Digital Co. will post -0.4 earnings per share for the current fiscal year.

Insider Buying and Selling at Applied Digital

In related news, CEO Wes Cummins sold 200,000 shares of Applied Digital stock in a transaction dated 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 of the company’s stock, valued at approximately $35,658,786. This trade represents a 4.91 % decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 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. This represents a 4.58 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 359,369 shares of company stock valued at $3,115,161. Corporate insiders own 11.81% of the company’s stock.

Hedge Funds Weigh In On Applied Digital

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Zurcher Kantonalbank Zurich Cantonalbank purchased a new stake in shares of Applied Digital in the third quarter valued at $59,000. Headlands Technologies LLC lifted its stake in Applied Digital by 381.8% in the 2nd quarter. Headlands Technologies LLC now owns 8,749 shares of the company’s stock worth $52,000 after acquiring an additional 6,933 shares in the last quarter. Beacon Harbor Wealth Advisors Inc. acquired a new stake in Applied Digital during the 3rd quarter worth about $83,000. Wealth Enhancement Advisory Services LLC purchased a new position in Applied Digital during the 3rd quarter valued at about $88,000. Finally, Chesapeake Capital Corp IL acquired a new position in shares of Applied Digital in the 3rd quarter valued at about $94,000. Institutional investors and hedge funds 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.