Applied Digital (NASDAQ:APLD) Trading Down 6.9% – Here’s What Happened

Applied Digital Corporation (NASDAQ:APLD) shares dropped 6.9% during mid-day trading on Thursday . The stock traded as low as $31.72 and last traded at $33.06. Approximately 24,532,539 shares traded hands during mid-day trading, a decline of 3% from the average daily volume of 25,203,609 shares. The stock had previously closed at $35.52.

Wall Street Analysts Forecast Growth

Several research analysts have recently weighed in on APLD shares. Needham & Company LLC increased their price target on Applied Digital from $66.00 to $83.00 and gave the stock a “buy” rating in a research note on Tuesday, June 9th. Lake Street Capital boosted their price objective on Applied Digital from $70.00 to $90.00 and gave the company a “buy” rating in a research note on Tuesday, June 9th. Lucid Cap Mkts raised shares of Applied Digital to a “strong-buy” rating in a report on Wednesday, May 27th. Citizens Jmp increased their target price on shares of Applied Digital from $40.00 to $60.00 and gave the stock a “market outperform” rating in a research report on Thursday, May 21st. Finally, Compass Point reiterated a “buy” rating and issued a $70.00 target price on shares of Applied Digital in a research note on Friday, May 22nd. Three research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating and two have issued a Sell rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $70.56.

Applied Digital Trading Down 6.9%

The firm has a 50-day simple moving average of $41.78 and a 200-day simple moving average of $34.04. The company has a quick ratio of 2.38, a current ratio of 2.38 and a debt-to-equity ratio of 1.65. The stock has a market cap of $9.45 billion, a PE ratio of -44.68 and a beta of 5.67.

Applied Digital (NASDAQ:APLD) last announced its quarterly earnings results on Wednesday, April 8th. The company reported ($0.36) earnings per share for the quarter, missing the consensus estimate of ($0.13) by ($0.23). Applied Digital had a negative net margin of 52.84% and a negative return on equity of 15.91%. The company had revenue of $108.55 million during the quarter, compared to analysts’ expectations of $78.47 million. During the same quarter last year, the firm posted ($0.08) earnings per share. Applied Digital’s revenue for the quarter was up 139.3% compared to the same quarter last year. Equities analysts forecast that Applied Digital Corporation will post -0.68 earnings per share for the current year.

Insider Transactions at Applied Digital

In other news, Director Richard N. Nottenburg sold 12,500 shares of the stock in a transaction dated Thursday, April 30th. The shares were sold at an average price of $34.59, for a total value of $432,375.00. Following the sale, the director directly owned 208,378 shares of the company’s stock, valued at approximately $7,207,795.02. This represents a 5.66% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, Director Douglas S. Miller sold 10,000 shares of the firm’s stock in a transaction that occurred on Monday, April 27th. The shares were sold at an average price of $34.98, for a total transaction of $349,800.00. Following the completion of the transaction, the director owned 184,859 shares of the company’s stock, valued at $6,466,367.82. This trade represents a 5.13% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders sold 35,000 shares of company stock worth $1,182,175. Insiders own 9.50% of the company’s stock.

Institutional Trading of Applied Digital

Institutional investors and hedge funds have recently modified their holdings of the business. Noble Wealth Management PBC bought a new stake in shares of Applied Digital during the 4th quarter valued at about $25,000. Albion Financial Group UT bought a new position in shares of Applied Digital in the fourth quarter worth approximately $25,000. Activest Wealth Management purchased a new stake in Applied Digital in the fourth quarter valued at approximately $25,000. Ameriflex Group Inc. purchased a new stake in Applied Digital in the fourth quarter valued at approximately $25,000. Finally, McMillan Office Inc. bought a new stake in Applied Digital during the fourth quarter valued at approximately $25,000. Hedge funds and other institutional investors own 65.67% of the company’s stock.

Applied Digital Company Profile

Applied Digital (NASDAQ: APLD) is a technology company specializing in the development and operation of large-scale digital infrastructure and sustainable Bitcoin mining solutions. Through its integrated platform, the company designs, builds and manages turnkey data center facilities while also providing comprehensive hosting services for cloud, colocation and enterprise computing needs. Applied Digital’s modular approach to facility design enables rapid deployment of capacity and streamlined integration of power, cooling and network connectivity.

In addition to its data center business, Applied Digital operates a network of Bitcoin mining sites that leverage vertically integrated capabilities, including hardware procurement, mining farm engineering, energy management and real-time performance monitoring.