Applied Digital (NASDAQ:APLD) Trading Up 2.5% – Here’s Why

Applied Digital Corporation (NASDAQ:APLD) rose 2.5% during trading on Friday . The stock traded as high as $26.87 and last traded at $26.42. Approximately 10,004,397 shares were traded during mid-day trading, a decline of 57% from the average session volume of 23,024,734 shares. The stock had previously closed at $25.78.

Analyst Ratings Changes

Several brokerages have issued reports on APLD. Zacks Research cut shares of Applied Digital from a “hold” rating to a “strong sell” rating in a research note on Wednesday, August 26th. Weiss Ratings reiterated a “sell (d-)” rating on shares of Applied Digital in a research report on Tuesday, July 21st. Wall Street Zen cut shares of Applied Digital from a “sell” rating to a “strong sell” rating in a research report on Sunday, August 30th. Citigroup reiterated a “market outperform” rating on shares of Applied Digital in a report on Monday, August 3rd. Finally, B. Riley Financial reissued a “buy” rating and set a $75.00 target price (up from $66.00) on shares of Applied Digital in a research note on Monday, August 3rd. Three research analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating, one has assigned a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $68.15.

Applied Digital Stock Up 2.5%

The firm has a market capitalization of $7.70 billion, a price-to-earnings ratio of -29.69 and a beta of 5.72. The business’s fifty day moving average price is $28.30 and its 200 day moving average price is $32.77. The company has a current ratio of 4.01, a quick ratio of 4.01 and a debt-to-equity ratio of 2.88.

Applied Digital (NASDAQ:APLD) last issued its quarterly earnings data on Monday, July 27th. The company reported ($0.39) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.09) by ($0.30). Applied Digital had a negative return on equity of 16.42% and a negative net margin of 37.78%.The business had revenue of $240.35 million for the quarter, compared to analysts’ expectations of $96.85 million. During the same period in the previous year, the business posted ($0.24) earnings per share. The company’s revenue for the quarter was up 406.3% on a year-over-year basis. On average, equities analysts expect that Applied Digital Corporation will post -1.09 EPS for the current year.

Insider Buying and Selling at Applied Digital

In related news, Director Richard Nottenburg sold 75,000 shares of Applied Digital stock in a transaction on Tuesday, August 4th. The shares were sold at an average price of $31.15, for a total value of $2,336,250.00. Following the transaction, the director directly owned 133,378 shares in the company, valued at $4,154,724.70. This trade represents a 35.99% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. 9.50% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Applied Digital

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. FNY Investment Advisers LLC purchased a new position in Applied Digital in the second quarter valued at about $37,000. Ameriflex Group Inc. acquired a new stake in shares of Applied Digital during the fourth quarter valued at $25,000. McMillan Office Inc. purchased a new stake in shares of Applied Digital during the fourth quarter worth about $25,000. Mcguire Capital Advisors Inc. purchased a new stake in Applied Digital in the 4th quarter worth approximately $27,000. Finally, Larson Financial Group LLC increased its stake in Applied Digital by 56,450.0% in the third quarter. Larson Financial Group LLC now owns 1,131 shares of the company’s stock valued at $26,000 after purchasing an additional 1,129 shares during the last quarter. 65.67% of the stock is owned by institutional investors and hedge funds.

Applied Digital Company Profile

Applied Digital Corporation (NASDAQ:APLD) develops and operates digital infrastructure designed to support high-performance computing (HPC), artificial intelligence (AI) and other compute-intensive applications. The company provides data center capacity and related services to customers that require substantial computing power, connectivity and energy resources.

The company’s facilities are designed to support advanced computing workloads, including AI model development, cloud computing and digital asset-related applications.