Applied Digital (NASDAQ:APLD) Shares Up 19.8% – Here’s Why

Applied Digital Corporation (NASDAQ:APLD)’s share price shot up 19.8% during mid-day trading on Thursday . The company traded as high as $27.98 and last traded at $27.8230. Approximately 5,807,640 shares were traded during trading, a decline of 76% from the average session volume of 24,409,553 shares. The stock had previously closed at $23.22.

Analyst Upgrades and Downgrades

APLD has been the topic of several analyst reports. B. Riley Financial reaffirmed a “buy” rating and set a $66.00 price target (up from $53.00) on shares of Applied Digital in a research report on Wednesday, May 27th. Craig Hallum increased their price objective on shares of Applied Digital from $75.00 to $79.00 and gave the stock a “buy” rating in a research report on Tuesday, June 9th. Zacks Research upgraded shares of Applied Digital from a “strong sell” rating to a “hold” rating in a report on Monday. Citizens Jmp boosted their target price on Applied Digital from $40.00 to $60.00 and gave the company a “market outperform” rating in a research report on Thursday, May 21st. Finally, Compass Point reaffirmed a “buy” rating and issued a $70.00 price objective on shares of Applied Digital in a research note on Friday, May 22nd. Three investment analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Buy” and a consensus price target of $67.15.

Applied Digital Stock Performance

The firm has a market cap of $8.04 billion, a price-to-earnings ratio of -31.70 and a beta of 5.67. The company has a current ratio of 2.38, a quick ratio of 2.38 and a debt-to-equity ratio of 1.65. The firm’s fifty day moving average price is $38.01 and its 200-day moving average price is $34.46.

Applied Digital (NASDAQ:APLD) last announced its earnings results on Monday, July 27th. The company reported ($0.39) EPS for the quarter, missing analysts’ consensus estimates of ($0.09) by ($0.30). Applied Digital had a negative net margin of 37.78% and a negative return on equity of 17.53%. The business had revenue of $240.35 million during the quarter, compared to analyst estimates of $96.85 million. During the same period in the previous year, the firm earned ($0.24) earnings per share. The business’s revenue was up 406.3% compared to the same quarter last year. Analysts expect that Applied Digital Corporation will post -1.1 earnings per share for the current year.

Institutional Investors Weigh In On Applied Digital

A number of hedge funds and other institutional investors have recently bought and sold shares of APLD. Vanguard Group Inc. boosted its position in shares of Applied Digital by 36.4% during the 4th quarter. Vanguard Group Inc. now owns 24,168,082 shares of the company’s stock worth $592,601,000 after purchasing an additional 6,445,908 shares in the last quarter. Value Aligned Research Advisors LLC acquired a new position in Applied Digital during the fourth quarter worth about $138,380,000. Situational Awareness LP grew its position in Applied Digital by 87.0% during the fourth quarter. Situational Awareness LP now owns 11,339,060 shares of the company’s stock worth $278,034,000 after buying an additional 5,274,905 shares during the period. BNP Paribas Financial Markets increased its holdings in Applied Digital by 24,356.8% in the second quarter. BNP Paribas Financial Markets now owns 5,219,565 shares of the company’s stock valued at $52,561,000 after buying an additional 5,198,223 shares in the last quarter. Finally, Marex Group plc lifted its position in shares of Applied Digital by 38,484.6% during the 4th quarter. Marex Group plc now owns 3,904,759 shares of the company’s stock valued at $95,745,000 after acquiring an additional 3,894,639 shares during the period. Institutional investors and hedge funds 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.