Applied Digital (NASDAQ:APLD) Trading 3.2% Higher – Here’s Why

Shares of Applied Digital Corporation (NASDAQ:APLD) traded up 3.2% during trading on Monday . The company traded as high as $24.97 and last traded at $24.81. 16,372,825 shares traded hands during trading, a decline of 53% from the average session volume of 34,764,480 shares. The stock had previously closed at $24.05.

Wall Street Analyst Weigh In

Several research analysts have recently weighed in on APLD shares. Wall Street Zen cut shares of Applied Digital from a “hold” rating to a “sell” rating in a research note on Sunday, October 19th. Northland Securities lifted their target price on Applied Digital to $40.00 and gave the company an “outperform” rating in a research report on Friday, October 10th. Citigroup reissued an “outperform” rating on shares of Applied Digital in a report on Thursday, October 9th. Compass Point began coverage on Applied Digital in a research note on Monday, September 15th. They issued a “buy” rating on the stock. Finally, Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Applied Digital in a research report on Wednesday, October 8th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $26.20.

Applied Digital Trading Up 3.2%

The stock has a fifty day simple moving average of $28.37 and a 200 day simple moving average of $20.66. The firm has a market capitalization of $6.93 billion, a P/E ratio of -21.96 and a beta of 6.95. The company has a quick ratio of 0.65, a current ratio of 0.65 and a debt-to-equity ratio of 0.29.

Applied Digital (NASDAQ:APLD) last released its quarterly earnings data on Thursday, October 9th. The company reported ($0.03) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.11) by $0.08. Applied Digital had a negative return on equity of 37.14% and a negative net margin of 111.29%.The firm had revenue of $64.22 million during the quarter, compared to analyst estimates of $52.25 million. During the same quarter in the prior year, the company posted ($0.15) earnings per share. The business’s quarterly revenue was up 84.3% compared to the same quarter last year. As a group, research analysts forecast that Applied Digital Corporation will post -0.96 EPS for the current year.

Insider Activity

In other news, CFO Mohammad Saidal Lavanw Mohmand sold 37,503 shares of the business’s stock in a transaction on Tuesday, October 28th. The shares were sold at an average price of $36.47, for a total value of $1,367,734.41. Following the transaction, the chief financial officer owned 121,409 shares of the company’s stock, valued at approximately $4,427,786.23. The trade was a 23.60% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Richard N. Nottenburg sold 9,375 shares of the company’s stock in a transaction on Friday, October 31st. The stock was sold at an average price of $35.91, for a total transaction of $336,656.25. Following the transaction, the director owned 249,237 shares of the company’s stock, valued at approximately $8,950,100.67. This represents a 3.63% decrease in their position. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have sold 328,035 shares of company stock valued at $11,376,479. Company insiders own 9.50% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. ProShare Advisors LLC increased its holdings in shares of Applied Digital by 1.0% in the third quarter. ProShare Advisors LLC now owns 36,652 shares of the company’s stock worth $841,000 after purchasing an additional 376 shares during the last quarter. PNC Financial Services Group Inc. grew its holdings in Applied Digital by 7.4% during the 3rd quarter. PNC Financial Services Group Inc. now owns 5,951 shares of the company’s stock valued at $137,000 after buying an additional 408 shares in the last quarter. Wedbush Securities Inc. increased its stake in Applied Digital by 5.7% in the 3rd quarter. Wedbush Securities Inc. now owns 10,785 shares of the company’s stock worth $247,000 after acquiring an additional 585 shares during the last quarter. Allworth Financial LP raised its holdings in shares of Applied Digital by 70.0% during the 3rd quarter. Allworth Financial LP now owns 1,746 shares of the company’s stock worth $40,000 after acquiring an additional 719 shares in the last quarter. Finally, Farther Finance Advisors LLC boosted its position in shares of Applied Digital by 51.8% during the 3rd quarter. Farther Finance Advisors LLC now owns 2,306 shares of the company’s stock valued at $53,000 after acquiring an additional 787 shares during the last quarter. Institutional investors own 65.67% of the company’s stock.

About Applied Digital

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.