Applied Digital (NASDAQ:APLD) Trading Up 7.2% – Here’s Why

Shares of Applied Digital Co. (NASDAQ:APLD) shot up 7.2% on Tuesday . The stock traded as high as $9.40 and last traded at $9.34. 6,108,587 shares traded hands during trading, a decline of 11% from the average session volume of 6,848,410 shares. The stock had previously closed at $8.71.

Analysts Set New Price Targets

Several equities research analysts have commented on APLD shares. B. Riley boosted their target price on Applied Digital from $8.00 to $9.00 and gave the company a “buy” rating in a research note on Friday, September 13th. Roth Mkm reiterated a “buy” rating and issued a $10.00 price target on shares of Applied Digital in a research note on Thursday, October 10th. Craig Hallum raised their target price 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. Lake Street Capital increased their price target 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. Finally, HC Wainwright lifted their price objective on shares of Applied Digital from $5.00 to $10.00 and gave the company a “buy” rating in a research report on Wednesday, October 16th. Six equities research analysts have rated the stock with a buy rating, Based on data from MarketBeat, the company presently has a consensus rating of “Buy” and a consensus target price of $10.50.

Applied Digital Price Performance

The company has a market capitalization of $1.26 billion, a P/E ratio of -11.41 and a beta of 4.56. The company has a debt-to-equity ratio of 1.14, a current ratio of 0.08 and a quick ratio of 0.08. The company’s 50-day moving average price is $6.02 and its two-hundred day moving average price is $4.97.

Applied Digital (NASDAQ:APLD) last issued its quarterly earnings data on Wednesday, October 9th. The company reported ($0.15) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.28) by $0.13. The company had revenue of $60.70 million during the quarter, compared to analysts’ expectations of $54.85 million. Applied Digital had a negative return on equity of 107.05% and a negative net margin of 74.95%. The business’s revenue was up 67.2% on a year-over-year basis. During the same quarter in the previous year, the company posted ($0.10) earnings per share. As a group, sell-side analysts expect that Applied Digital Co. will post -1.12 EPS for the current year.

Insiders Place Their Bets

In related news, Director Richard N. Nottenburg sold 80,000 shares of the company’s stock in a transaction dated Monday, October 14th. The shares were sold at an average price of $7.37, for a total value of $589,600.00. Following the transaction, the director now directly owns 433,686 shares in the company, valued at approximately $3,196,265.82. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. In other Applied Digital news, Director Douglas S. Miller sold 10,000 shares of the company’s stock in a transaction on Thursday, October 17th. The stock was sold at an average price of $8.01, for a total transaction 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 represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Richard N. Nottenburg sold 80,000 shares of the company’s stock in a transaction that occurred on Monday, October 14th. The shares were sold at an average price of $7.37, for a total transaction of $589,600.00. Following the completion of the transaction, the director now owns 433,686 shares of the company’s stock, valued at approximately $3,196,265.82. This trade represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 100,000 shares of company stock worth $724,700 in the last 90 days. Company insiders own 20.50% of the company’s stock.

Hedge Funds Weigh In On Applied Digital

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Principal Financial Group Inc. acquired a new stake in Applied Digital in the first quarter worth $50,000. Headlands Technologies LLC raised its holdings in Applied Digital by 381.8% during the second quarter. Headlands Technologies LLC now owns 8,749 shares of the company’s stock worth $52,000 after buying an additional 6,933 shares during the last quarter. ARS Investment Partners LLC bought a new position in shares of Applied Digital in the second quarter valued at $60,000. Price T Rowe Associates Inc. MD grew its holdings in shares of Applied Digital by 15.3% during the first quarter. Price T Rowe Associates Inc. MD now owns 24,018 shares of the company’s stock valued at $103,000 after buying an additional 3,182 shares during the last quarter. Finally, Crumly & Associates Inc. bought a new stake in shares of Applied Digital during the second quarter worth about $110,000. Institutional investors and hedge funds own 65.67% of the company’s stock.

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.