Applied Digital (NASDAQ:APLD) Shares Down 6.5% – Here’s What Happened

Applied Digital Co. (NASDAQ:APLD) fell 6.5% during mid-day trading on Monday . The stock traded as low as $7.44 and last traded at $7.48. 14,702,552 shares were traded during trading, a decline of 48% from the average session volume of 28,286,107 shares. The stock had previously closed at $8.00.

Analysts Set New Price Targets

A number of brokerages have recently commented on APLD. Needham & Company LLC reissued a “buy” rating and issued a $11.00 price objective on shares of Applied Digital in a research report on Monday, February 24th. Cantor Fitzgerald reduced 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 assumed coverage on Applied Digital in a research report on Tuesday, January 28th. They set a “buy” rating and a $10.00 price target on the stock. Northland Securities lifted their target price on Applied Digital from $12.00 to $20.00 and gave the stock an “outperform” rating in a research note on Tuesday, February 4th. Finally, HC Wainwright boosted 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. Nine analysts have rated the stock with a buy rating, Based on data from MarketBeat.com, Applied Digital has an average rating of “Buy” and a consensus target price of $12.11.

Applied Digital Price Performance

The company has a current ratio of 0.77, a quick ratio of 0.77 and a debt-to-equity ratio of 1.22. The company has a 50 day moving average of $8.41 and a 200-day moving average of $7.67. The firm has a market capitalization of $1.53 billion, a P/E ratio of -3.98 and a beta of 4.77.

Applied Digital (NASDAQ:APLD) last announced its earnings results on Tuesday, January 14th. The company reported ($0.06) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates 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 company had revenue of $63.87 million during the quarter, compared to analysts’ expectations of $62.41 million. During the same quarter in the previous year, the business posted ($0.05) earnings per share. Applied Digital’s quarterly revenue was up 51.3% on a year-over-year basis. On average, sell-side analysts predict that Applied Digital Co. will post -0.96 EPS for the current year.

Insiders Place Their Bets

In other news, Director Richard N. Nottenburg sold 20,000 shares of the 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 sale, the director now directly owns 342,923 shares of the company’s stock, valued at approximately $3,034,868.55. This represents a 5.51 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Company insiders own 11.81% of the company’s stock.

Institutional Investors Weigh In On Applied Digital

Institutional investors and hedge funds have recently bought and sold shares of the company. Private Advisor Group LLC raised its position in shares of Applied Digital by 159.7% in the 3rd quarter. Private Advisor Group LLC now owns 38,700 shares of the company’s stock valued at $319,000 after buying an additional 23,800 shares in the last quarter. Wealth Enhancement Advisory Services LLC acquired a new position in Applied Digital during the third quarter valued at approximately $88,000. Beacon Harbor Wealth Advisors Inc. bought a new stake in Applied Digital during the third quarter worth $83,000. Victory Capital Management Inc. boosted its holdings in shares of Applied Digital by 72.5% in the 3rd quarter. Victory Capital Management Inc. now owns 19,535 shares of the company’s stock valued at $161,000 after purchasing an additional 8,212 shares in the last quarter. Finally, Royce & Associates LP increased its stake in shares of Applied Digital by 1.4% in the 3rd quarter. Royce & Associates LP now owns 1,132,140 shares of the company’s stock valued at $9,340,000 after purchasing an additional 15,763 shares during the last quarter. Institutional investors own 65.67% of the company’s stock.

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.