Applied Digital (NASDAQ:APLD) Shares Up 2.5% – Here’s What Happened

Applied Digital Corporation (NASDAQ:APLD)’s stock price traded up 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 trading, a decline of 57% from the average daily volume of 23,024,734 shares. The stock had previously closed at $25.78.

Wall Street Analyst Weigh In

Several research firms have issued reports on APLD. Compass Point restated a “buy” rating and issued a $70.00 price target on shares of Applied Digital in a research report on Friday, May 22nd. Wall Street Zen lowered shares of Applied Digital from a “sell” rating to a “strong sell” rating in a research report on Sunday, August 30th. Morgan Stanley increased their target price on shares of Applied Digital from $36.50 to $37.50 and gave the company an “equal weight” rating in a research note on Thursday, August 6th. Zacks Research downgraded Applied Digital from a “hold” rating to a “strong sell” rating in a research report on Wednesday, August 26th. Finally, Citigroup restated a “market outperform” rating 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 issued a Buy rating, one has issued a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $68.15.

Applied Digital Price Performance

The company has a 50-day moving average of $28.43 and a 200 day moving average of $32.82. The company has a debt-to-equity ratio of 2.88, a quick ratio of 4.01 and a current ratio of 4.01. The firm has a market cap of $7.70 billion, a P/E ratio of -29.69 and a beta of 5.72.

Applied Digital (NASDAQ:APLD) last announced its quarterly earnings results on Monday, July 27th. The company reported ($0.39) earnings per share 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 company had revenue of $240.35 million during the quarter, compared to the consensus estimate of $96.85 million. During the same quarter last year, the company earned ($0.24) earnings per share. The business’s revenue was up 406.3% on a year-over-year basis. On average, sell-side analysts anticipate that Applied Digital Corporation will post -1.09 EPS for the current year.

Insider Activity at Applied Digital

In other news, Director Richard Nottenburg sold 75,000 shares of the business’s 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 sale, the director owned 133,378 shares in the company, valued at approximately $4,154,724.70. The trade was a 35.99% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Corporate insiders own 9.50% of the company’s stock.

Institutional Investors Weigh In On Applied Digital

A number of hedge funds have recently made changes to their positions in the company. Whitaker Myers Wealth Managers LTD. acquired a new position in Applied Digital in the second quarter valued at about $1,841,000. Cambridge Investment Research Advisors Inc. increased its holdings in shares of Applied Digital by 39.6% during the second quarter. Cambridge Investment Research Advisors Inc. now owns 146,633 shares of the company’s stock worth $5,469,000 after buying an additional 41,562 shares in the last quarter. Dimensional Fund Advisors LP acquired a new stake in shares of Applied Digital during the first quarter worth approximately $1,970,000. Thoroughbred Financial Services LLC bought a new position in shares of Applied Digital in the fourth quarter valued at approximately $682,000. Finally, TFR Capital LLC. raised its stake in shares of Applied Digital by 425.3% in the first quarter. TFR Capital LLC. now owns 372,960 shares of the company’s stock valued at $9,497,000 after acquiring an additional 301,954 shares during the last quarter. Institutional investors and hedge funds own 65.67% of the company’s stock.

About Applied Digital

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.