Applied Digital (NASDAQ:APLD) Trading 15.2% Higher – What’s Next?

Applied Digital Co. (NASDAQ:APLD) shares rose 15.2% during mid-day trading on Monday . The stock traded as high as $9.28 and last traded at $9.11. Approximately 42,892,479 shares changed hands during trading, an increase of 69% from the average daily volume of 25,388,150 shares. The stock had previously closed at $7.91.

Wall Street Analyst Weigh In

Several research firms have weighed in on APLD. HC Wainwright boosted 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 Wednesday, January 15th. Compass Point assumed coverage on shares of Applied Digital in a research note on Tuesday, January 28th. They set a “buy” rating and a $10.00 price objective on the stock. Needham & Company LLC reissued a “buy” rating and issued a $11.00 target price on shares of Applied Digital in a report on Wednesday, January 15th. Northland Securities upped their target price on Applied Digital from $12.00 to $20.00 and gave the company an “outperform” rating in a report on Tuesday, February 4th. Finally, Cantor Fitzgerald cut their price target 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 analysts have rated the stock with a buy rating, Based on data from MarketBeat, Applied Digital has an average rating of “Buy” and a consensus target price of $12.11.

Applied Digital Stock Performance

The firm has a market capitalization of $2.22 billion, a price-to-earnings ratio of -5.75 and a beta of 4.77. The company has a 50-day moving average price of $8.39 and a 200-day moving average price of $7.35. The company has a quick ratio of 0.77, a current ratio of 0.77 and a debt-to-equity ratio of 1.22.

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

Insider Activity at Applied Digital

In other Applied Digital news, CEO Wes Cummins sold 200,000 shares of the stock in a transaction on Wednesday, November 27th. The stock was sold at an average price of $9.20, for a total transaction of $1,840,000.00. Following the completion of the transaction, the chief executive officer now directly owns 3,875,955 shares of the company’s stock, valued at approximately $35,658,786. This trade represents a 4.91 % decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Richard N. Nottenburg sold 20,000 shares of Applied Digital stock in a transaction on Friday, January 17th. The shares were sold at an average price of $8.85, for a total value of $177,000.00. Following the transaction, the director now owns 342,923 shares in the company, valued at approximately $3,034,868.55. This trade represents a 5.51 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 270,000 shares of company stock worth $2,477,000 in the last 90 days. Corporate insiders own 11.81% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. Wilmington Savings Fund Society FSB grew its stake in shares of Applied Digital by 100.0% in the 4th quarter. Wilmington Savings Fund Society FSB now owns 4,000 shares of the company’s stock worth $31,000 after purchasing an additional 2,000 shares during the last quarter. R Squared Ltd acquired a new stake in Applied Digital during the fourth quarter valued at approximately $36,000. US Bancorp DE bought a new stake in Applied Digital during the fourth quarter worth approximately $37,000. Jones Financial Companies Lllp acquired a new position in Applied Digital in the fourth quarter worth approximately $39,000. Finally, Spire Wealth Management acquired a new stake in shares of Applied Digital during the 4th quarter valued at $43,000. 65.67% of the stock is 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.