Applied Digital (NASDAQ:APLD) Stock Price Expected to Rise, Lake Street Capital Analyst Says

Applied Digital (NASDAQ:APLD) had its price target hoisted by Lake Street Capital from $70.00 to $90.00 in a research note issued on Tuesday,Benzinga reports. The firm presently has a “buy” rating on the stock. Lake Street Capital’s price objective indicates a potential upside of 112.30% from the stock’s previous close.

Several other equities research analysts have also recently commented on APLD. Weiss Ratings reiterated a “sell (d-)” rating on shares of Applied Digital in a research report on Friday, April 24th. Citizens Jmp raised their price objective on shares of Applied Digital from $40.00 to $60.00 and gave the company a “market outperform” rating in a research report on Thursday, May 21st. Wall Street Zen downgraded shares of Applied Digital from a “hold” rating to a “sell” rating in a report on Saturday, April 11th. Needham & Company LLC increased their target price on shares of Applied Digital from $66.00 to $83.00 and gave the company a “buy” rating in a research note on Tuesday. Finally, Citigroup restated a “market outperform” rating on shares of Applied Digital in a report on Tuesday. Three research analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Buy” and an average target price of $63.22.

Applied Digital Price Performance

NASDAQ:APLD traded up $1.45 during midday trading on Tuesday, hitting $42.39. 9,516,963 shares of the stock were exchanged, compared to its average volume of 25,461,482. The company has a market capitalization of $12.11 billion, a price-to-earnings ratio of -57.29 and a beta of 5.69. The company has a current ratio of 2.38, a quick ratio of 2.38 and a debt-to-equity ratio of 1.65. Applied Digital has a one year low of $9.02 and a one year high of $50.72. The business has a 50-day moving average price of $36.49 and a two-hundred day moving average price of $32.25.

Applied Digital (NASDAQ:APLD) last issued its quarterly earnings results on Wednesday, April 8th. The company reported ($0.36) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.13) by ($0.23). Applied Digital had a negative net margin of 52.84% and a negative return on equity of 15.91%. The firm had revenue of $108.55 million for the quarter, compared to analyst estimates of $78.47 million. During the same quarter last year, the business posted ($0.08) earnings per share. The firm’s revenue for the quarter was up 139.3% compared to the same quarter last year. Sell-side analysts predict that Applied Digital will post -0.68 EPS for the current year.

Insiders Place Their Bets

In other Applied Digital news, Director Richard N. Nottenburg sold 12,500 shares of the company’s stock in a transaction dated Thursday, April 30th. The shares were sold at an average price of $34.59, for a total transaction of $432,375.00. Following the completion of the sale, the director directly owned 208,378 shares of the company’s stock, valued at approximately $7,207,795.02. This represents a 5.66% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Douglas S. Miller sold 10,000 shares of the firm’s stock in a transaction dated Monday, April 27th. The stock was sold at an average price of $34.98, for a total transaction of $349,800.00. Following the completion of the transaction, the director owned 184,859 shares of the company’s stock, valued at approximately $6,466,367.82. The trade was a 5.13% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 35,000 shares of company stock valued at $1,182,175 in the last quarter. 9.50% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Applied Digital

Hedge funds have recently made changes to their positions in the company. Teachers Retirement System of The State of Kentucky purchased a new position in Applied Digital during the 3rd quarter valued at about $994,000. MRA Advisory Group acquired a new position in shares of Applied Digital in the 3rd quarter valued at about $978,000. Vanguard Group Inc. lifted its position in shares of Applied Digital by 23.2% in the third quarter. Vanguard Group Inc. now owns 17,722,174 shares of the company’s stock worth $406,547,000 after purchasing an additional 3,339,062 shares in the last quarter. Cannon Capital Management Inc. acquired a new stake in shares of Applied Digital during the fourth quarter worth approximately $3,635,000. Finally, Mandatum Life Insurance Co Ltd acquired a new stake in shares of Applied Digital during the third quarter worth approximately $924,000. Hedge funds and other institutional investors own 65.67% of the company’s stock.

More Applied Digital News

Here are the key news stories impacting Applied Digital this week:

• Positive Sentiment: Applied Digital signed a new 15-year, 210 MW lease at its Delta Forge 2 site with a U.S.-based investment-grade hyperscaler, which could generate about $5.2 billion in revenue and expands its AI Factory footprint to a fifth campus. Article Title
• Positive Sentiment: The company said this deal brings total contracted lease revenue to roughly $36 billion, with about 70% now backed by investment-grade hyperscalers, strengthening confidence in long-term cash flow growth. Article Title
• Positive Sentiment: Applied Digital also secured a revolving credit facility of up to $550 million, which should give it more flexibility to fund expansion and support strategic growth. Article Title
• Positive Sentiment: Needham raised its price target on Applied Digital to $83 from $66 and kept a Buy rating, signaling continued analyst confidence after the latest contract wins. Article Title
• Neutral Sentiment: The company announced plans to issue $1.59 billion of senior secured notes to help fund the fourth building at Polaris Forge 1, which supports growth but adds leverage and execution risk. Article Title
• Negative Sentiment: Zacks added APLD to its Rank #5 (Strong Sell) list, which may temper some investor enthusiasm despite the stock’s recent momentum. Article Title

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.