Applied Digital (NASDAQ:APLD) Shares Up 7.3% – What’s Next?

Applied Digital Corporation (NASDAQ:APLD) shares shot up 7.3% on Tuesday . The company traded as high as $28.93 and last traded at $28.85. 13,233,094 shares changed hands during mid-day trading, a decline of 44% from the average session volume of 23,647,449 shares. The stock had previously closed at $26.89.

Analyst Upgrades and Downgrades

Several equities analysts recently commented on APLD shares. B. Riley Financial reissued a “buy” rating and issued a $75.00 price objective (up from $66.00) on shares of Applied Digital in a research note on Monday, August 3rd. Craig Hallum increased their price target on Applied Digital from $75.00 to $79.00 and gave the company a “buy” rating in a research note on Tuesday, June 9th. Northland Securities set a $82.00 price objective on Applied Digital and gave the stock an “outperform” rating in a research report on Wednesday, June 17th. Lake Street Capital increased their target price on Applied Digital from $70.00 to $90.00 and gave the company a “buy” rating in a research report on Tuesday, June 9th. Finally, Lucid Cap Mkts upgraded Applied Digital to a “strong-buy” rating in a report on Wednesday, May 27th. Three analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $68.15.

Applied Digital Price Performance

The company has a debt-to-equity ratio of 2.88, a current ratio of 4.01 and a quick ratio of 4.01. The company has a fifty day moving average of $32.39 and a 200 day moving average of $33.50. The firm has a market capitalization of $8.41 billion, a P/E ratio of -32.42 and a beta of 5.75.

Applied Digital (NASDAQ:APLD) last posted its quarterly earnings data 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 16.42%. The firm had revenue of $240.35 million during the quarter, compared to the consensus estimate of $96.85 million. During the same period in the prior year, the company posted ($0.24) earnings per share. The company’s revenue for the quarter was up 406.3% compared to the same quarter last year. Sell-side analysts predict that Applied Digital Corporation will post -1.09 earnings per share for the current year.

Insider Transactions at Applied Digital

In other Applied Digital news, Director Richard N. Nottenburg sold 75,000 shares of the company’s stock in a transaction on Tuesday, August 4th. The shares were sold at an average price of $31.15, for a total transaction of $2,336,250.00. Following the sale, the director owned 133,378 shares of the company’s stock, valued at approximately $4,154,724.70. This represents a 35.99% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. 9.50% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in APLD. Vanguard Group Inc. grew its stake in Applied Digital by 36.4% during the fourth 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 during the period. Situational Awareness LP lifted its stake in Applied Digital by 14.1% in the second quarter. Situational Awareness LP now owns 15,384,616 shares of the company’s stock valued at $574,000 after buying an additional 1,906,178 shares during the period. California State Teachers Retirement System lifted its stake in Applied Digital by 3,718.0% in the second quarter. California State Teachers Retirement System now owns 11,121,928 shares of the company’s stock valued at $414,848,000 after buying an additional 10,830,623 shares during the period. Equitec Proprietary Markets LLC bought a new position in shares of Applied Digital during the 2nd quarter worth approximately $312,349,000. Finally, Geode Capital Management LLC grew its position in shares of Applied Digital by 5.1% during the 4th quarter. Geode Capital Management LLC now owns 6,285,820 shares of the company’s stock worth $154,151,000 after buying an additional 304,228 shares during the period. 65.67% of the stock is owned by institutional investors and hedge funds.

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.