Applied Digital (NASDAQ:APLD) Shares Gap Down – What’s Next?

Applied Digital Corporation (NASDAQ:APLD)’s share price gapped down prior to trading on Wednesday . The stock had previously closed at $33.56, but opened at $31.32. Applied Digital shares last traded at $32.85, with a volume of 13,525,452 shares trading hands.

Wall Street Analyst Weigh In

APLD has been the topic of several recent analyst reports. Needham & Company LLC reiterated a “buy” rating and issued a $41.00 price target on shares of Applied Digital in a research note on Thursday, January 8th. Citigroup reiterated an “outperform” rating on shares of Applied Digital in a research report on Wednesday, January 28th. Texas Capital raised Applied Digital to a “strong-buy” rating in a research note on Tuesday, January 20th. Northland Securities set a $56.00 price objective on shares of Applied Digital in a research note on Wednesday, January 28th. Finally, Arete Research initiated coverage on Applied Digital in a report on Wednesday, January 7th. They set a “buy” rating for the company. Two equities research analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, Applied Digital currently has a consensus rating of “Buy” and an average price target of $37.00.

Applied Digital Price Performance

The firm has a market capitalization of $8.98 billion, a PE ratio of -59.48 and a beta of 7.25. The business’s 50 day moving average is $31.95 and its two-hundred day moving average is $26.76. The company has a debt-to-equity ratio of 1.79, a quick ratio of 4.82 and a current ratio of 4.82.

Insiders Place Their Bets

In other news, Director Chuck Hastings sold 45,987 shares of Applied Digital stock in a transaction dated Thursday, January 29th. The stock was sold at an average price of $38.57, for a total value of $1,773,718.59. Following the transaction, the director owned 388,372 shares in the company, valued at approximately $14,979,508.04. The trade was a 10.59% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Wes Cummins sold 165,000 shares of the stock in a transaction on Friday, January 16th. The shares were sold at an average price of $36.42, for a total transaction of $6,009,300.00. Following the sale, the chief executive officer directly owned 4,176,329 shares of the company’s stock, valued at $152,101,902.18. The trade was a 3.80% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 244,593 shares of company stock worth $9,003,278 over the last three months. Company insiders own 9.50% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the company. Atlantic Union Bankshares Corp purchased a new stake in shares of Applied Digital in the 2nd quarter worth $25,000. Noble Wealth Management PBC purchased a new stake in shares of Applied Digital during the 4th quarter worth $25,000. Albion Financial Group UT bought a new stake in Applied Digital during the fourth quarter valued at about $25,000. Activest Wealth Management purchased a new position in Applied Digital in the fourth quarter valued at about $25,000. Finally, McMillan Office Inc. purchased a new position in Applied Digital in the fourth quarter valued at about $25,000. 65.67% of the stock is owned by hedge funds and other institutional investors.

Applied Digital Company Profile

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.