Applied Digital (NASDAQ:APLD) Trading Down 3.7% – Time to Sell?

Applied Digital Co. (NASDAQ:APLD) shares dropped 3.7% during mid-day trading on Friday . The company traded as low as $6.99 and last traded at $7.02. Approximately 3,394,034 shares were traded during mid-day trading, a decline of 87% from the average daily volume of 26,302,871 shares. The stock had previously closed at $7.29.

Analysts Set New Price Targets

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

Applied Digital Trading Down 3.0 %

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 firm has a 50 day simple moving average of $7.93 and a two-hundred day simple moving average of $7.94. The firm has a market capitalization of $1.58 billion, a P/E ratio of -4.09 and a beta of 4.69.

Applied Digital (NASDAQ:APLD) last issued its quarterly earnings data on Tuesday, January 14th. The company reported ($0.06) earnings per share 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 business had revenue of $63.87 million for the quarter, compared to analysts’ expectations of $62.41 million. During the same period last year, the business earned ($0.05) EPS. The business’s revenue was up 51.3% on a year-over-year basis. Equities research analysts forecast that Applied Digital Co. will post -0.96 earnings per share for the current year.

Insider Activity

In other news, Director Richard N. Nottenburg sold 20,000 shares of the firm’s stock in a transaction on Friday, January 17th. The stock was sold at an average price of $8.85, for a total transaction of $177,000.00. Following the completion of the sale, the director now directly owns 342,923 shares of the company’s stock, valued at $3,034,868.55. This trade represents a 5.51 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Insiders own 11.81% of the company’s stock.

Institutional Investors Weigh In On Applied Digital

Several large investors have recently made changes to their positions in APLD. Charles Schwab Investment Management Inc. increased its holdings in Applied Digital by 36.5% in the 3rd quarter. Charles Schwab Investment Management Inc. now owns 899,293 shares of the company’s stock worth $7,419,000 after acquiring an additional 240,554 shares during the last quarter. Quadrature Capital Ltd purchased a new stake in Applied Digital in the 3rd quarter worth about $545,000. Rhumbline Advisers increased its holdings in Applied Digital by 68.7% in the 4th quarter. Rhumbline Advisers now owns 258,892 shares of the company’s stock worth $1,978,000 after acquiring an additional 105,428 shares during the last quarter. Exchange Traded Concepts LLC increased its holdings in Applied Digital by 37.6% in the 4th quarter. Exchange Traded Concepts LLC now owns 1,002,090 shares of the company’s stock worth $7,656,000 after acquiring an additional 273,666 shares during the last quarter. Finally, Barclays PLC increased its holdings in Applied Digital by 736.8% in the 3rd quarter. Barclays PLC now owns 486,577 shares of the company’s stock worth $4,014,000 after acquiring an additional 428,428 shares during the last quarter. 65.67% of the stock is owned by hedge funds and other 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.