Applied Digital (NASDAQ:APLD) Research Coverage Started at Rothschild & Co Redburn

Rothschild & Co Redburn started coverage on shares of Applied Digital (NASDAQ:APLD) in a research note released on Monday morning, Marketbeat Ratings reports. The firm issued a neutral rating and a $22.00 target price on the stock.

APLD has been the topic of several other reports. Northland Securities set a $82.00 price target on shares of Applied Digital and gave the stock an “outperform” rating in a research report on Wednesday, June 17th. Wall Street Zen downgraded shares of Applied Digital from a “sell” rating to a “strong sell” rating in a research report on Sunday, August 30th. Weiss Ratings restated a “sell (d-)” rating on shares of Applied Digital in a research note on Tuesday, July 21st. Craig Hallum raised their target price on Applied Digital from $75.00 to $79.00 and gave the stock a “buy” rating in a report on Tuesday, June 9th. Finally, Lucid Cap Mkts upgraded Applied Digital to a “strong-buy” rating in a research report on Wednesday, May 27th. Three research analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, two have given a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $60.88.

Applied Digital Price Performance

NASDAQ APLD opened at $27.23 on Monday. The stock has a 50-day moving average of $27.60 and a 200 day moving average of $32.68. Applied Digital has a one year low of $19.00 and a one year high of $50.72. The company has a market capitalization of $7.94 billion, a price-to-earnings ratio of -30.60 and a beta of 5.72. The company has a debt-to-equity ratio of 2.88, a quick ratio of 4.01 and a current ratio of 4.01.

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

Insider Activity

In related news, Director Richard Nottenburg sold 75,000 shares of the stock in a transaction that occurred on Tuesday, August 4th. The stock was sold at an average price of $31.15, for a total transaction of $2,336,250.00. Following the completion of the transaction, the director directly 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 filing with the Securities & Exchange Commission, which is accessible through this link. Company insiders own 9.50% of the company’s stock.

Hedge Funds Weigh In On Applied Digital

A number of institutional investors and hedge funds have recently made changes to their positions in the business. GAMMA Investing LLC raised its stake in shares of Applied Digital by 28.5% in the second quarter. GAMMA Investing LLC now owns 2,092 shares of the company’s stock valued at $78,000 after acquiring an additional 464 shares during the period. Krilogy Financial LLC lifted its holdings in shares of Applied Digital by 4.1% in the 2nd quarter. Krilogy Financial LLC now owns 14,243 shares of the company’s stock worth $531,000 after acquiring an additional 561 shares during the last quarter. Vermillion Wealth Management Inc. boosted its stake in shares of Applied Digital by 29.4% during the 1st quarter. Vermillion Wealth Management Inc. now owns 2,563 shares of the company’s stock worth $61,000 after purchasing an additional 583 shares during the period. Envestnet Asset Management Inc. boosted its stake in shares of Applied Digital by 4.7% during the 2nd quarter. Envestnet Asset Management Inc. now owns 13,333 shares of the company’s stock worth $497,000 after purchasing an additional 596 shares during the period. Finally, Handelsbanken Fonder AB grew its holdings in Applied Digital by 1.0% during the 2nd quarter. Handelsbanken Fonder AB now owns 71,600 shares of the company’s stock valued at $2,671,000 after purchasing an additional 700 shares during the last quarter. 65.67% of the stock is owned by hedge funds and other institutional investors.

More Applied Digital News

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

• Positive Sentiment: UBS initiated coverage with a Buy rating and a $38 price target, citing constrained AI-compute supply, favorable power access and Applied Digital’s transition from cryptocurrency mining to high-performance-computing data centers. UBS views the company’s grid access and existing infrastructure as competitive advantages as AI demand accelerates. UBS initiates Applied Digital at Buy with $38 price target, citing AI infrastructure momentum
• Positive Sentiment: UBS also initiated Buy ratings on four comparable AI data-center operators, reinforcing a favorable sector outlook and potentially increasing investor interest in Applied Digital’s AI infrastructure strategy. UBS turns bullish on five AI data center stocks
• Neutral Sentiment: Applied Digital has reported approximately $36 billion of contracted long-term lease value and is highlighting strong economics on high-performance-computing projects. However, investors are still waiting for clearer evidence that the contracts will translate into cash flow and shareholder value. Should You Sell Your APLD Stock Now?
• Negative Sentiment: Analyst sentiment remains divided. A fair-value estimate was reduced from $73.36 to $68.35 amid concerns over contracted capacity, financing requirements and how much AI growth is already reflected in the valuation. Applied Digital Stock Sees Fair Value Cut As Analysts Split On AI Buildout
• Negative Sentiment: Redburn initiated coverage with a Neutral rating and a $22 target, implying substantial downside from recent trading levels. Investors also remain concerned about power and supply-chain constraints, lower yields on new deals and the capital needed to deliver the company’s backlog. APLD’s 250MW Question

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.