Applied Digital (NASDAQ:APLD) Stock Price Down 9.2% – Here’s What Happened

Applied Digital Co. (NASDAQ:APLD)’s stock price dropped 9.2% during trading on Monday . The company traded as low as $6.53 and last traded at $6.59. Approximately 6,398,956 shares traded hands during mid-day trading, a decline of 77% from the average daily volume of 27,996,920 shares. The stock had previously closed at $7.26.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently issued reports on APLD shares. HC Wainwright lifted their price objective on shares of 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 price objective on Applied Digital from $12.00 to $20.00 and gave the company an “outperform” rating in a report on Tuesday, February 4th. Cantor Fitzgerald lowered their price target on Applied Digital from $15.00 to $14.00 and set an “overweight” rating for the company in a report on Wednesday, January 15th. Compass Point started coverage on shares of Applied Digital in a research report on Tuesday, January 28th. They issued a “buy” rating and a $10.00 target price on the stock. Finally, Needham & Company LLC reissued a “buy” rating and issued a $11.00 target price on shares of Applied Digital in a research report on Monday, February 24th. Nine research analysts have rated the stock with a buy rating, According to data from MarketBeat, the company currently has a consensus rating of “Buy” and a consensus target price of $12.11.

Applied Digital Stock Performance

The company has a market cap of $1.39 billion, a PE ratio of -3.61 and a beta of 4.69. The company has a debt-to-equity ratio of 1.22, a quick ratio of 0.77 and a current ratio of 0.77. The stock’s 50-day simple moving average is $8.26 and its 200 day simple moving average is $7.78.

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

Insider Activity at Applied Digital

In related news, Director Richard N. Nottenburg sold 20,000 shares of the firm’s stock in a transaction dated 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 sale, the director now owns 342,923 shares in the company, valued at $3,034,868.55. This trade represents a 5.51 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Company insiders own 11.81% of the company’s stock.

Institutional Investors Weigh In On Applied Digital

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Wilmington Savings Fund Society FSB increased its stake in Applied Digital by 100.0% in the 4th quarter. Wilmington Savings Fund Society FSB now owns 4,000 shares of the company’s stock valued at $31,000 after purchasing an additional 2,000 shares in the last quarter. R Squared Ltd purchased a new stake in shares of Applied Digital in the 4th quarter worth about $36,000. US Bancorp DE acquired a new stake in Applied Digital in the 4th quarter valued at about $37,000. Jones Financial Companies Lllp purchased a new position in Applied Digital during the 4th quarter valued at about $39,000. Finally, Spire Wealth Management purchased a new position in Applied Digital during the 4th quarter valued at about $43,000. 65.67% of the stock is currently owned by institutional investors and hedge funds.

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.