Applied Digital (NASDAQ:APLD) Stock Price Down 7.6% – Should You Sell?

Applied Digital Co. (NASDAQ:APLD) was down 7.6% during trading on Thursday . The stock traded as low as $8.32 and last traded at $8.70. Approximately 14,142,000 shares changed hands during mid-day trading, a decline of 11% from the average daily volume of 15,866,307 shares. The stock had previously closed at $9.42.

Analyst Ratings Changes

Several analysts have issued reports on the company. Cantor Fitzgerald assumed coverage on Applied Digital in a report on Friday, December 20th. They issued an “overweight” rating and a $15.00 target price for the company. Lake Street Capital upped their target price on Applied Digital from $7.00 to $11.00 and gave the company a “buy” rating in a report on Thursday, October 10th. Roth Mkm restated a “buy” rating and issued a $10.00 target price on shares of Applied Digital in a report on Thursday, October 10th. HC Wainwright upped their target price on Applied Digital from $5.00 to $10.00 and gave the company a “buy” rating in a report on Wednesday, October 16th. Finally, B. Riley upped their target price on Applied Digital from $8.00 to $9.00 and gave the company a “buy” rating in a report on Friday, September 13th. Seven investment analysts have rated the stock with a buy rating, According to data from MarketBeat, the company currently has an average rating of “Buy” and an average price target of $11.14.

Applied Digital Stock Down 4.7 %

The firm has a 50 day moving average price of $8.66 and a 200-day moving average price of $6.90. The company has a current ratio of 0.22, a quick ratio of 0.22 and a debt-to-equity ratio of 0.62. The firm has a market cap of $1.75 billion, a PE ratio of -7.09 and a beta of 4.78.

Applied Digital (NASDAQ:APLD) last posted its earnings results on Wednesday, October 9th. The company reported ($0.15) earnings per share for the quarter, topping the consensus estimate of ($0.28) by $0.13. The firm had revenue of $60.70 million during the quarter, compared to analysts’ expectations of $54.85 million. Applied Digital had a negative return on equity of 88.87% and a negative net margin of 74.95%. The firm’s revenue was up 67.2% compared to the same quarter last year. During the same quarter in the previous year, the business earned ($0.10) earnings per share. Research analysts forecast that Applied Digital Co. will post -0.4 EPS for the current fiscal year.

Insider Buying and Selling at Applied Digital

In other news, Director Richard N. Nottenburg sold 19,369 shares of Applied Digital stock in a transaction that occurred on Thursday, November 7th. The shares were sold at an average price of $7.51, for a total transaction of $145,461.19. Following the completion of the sale, the director now directly owns 384,317 shares in the company, valued at approximately $2,886,220.67. This trade represents a 4.80 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Douglas S. Miller sold 10,000 shares of Applied Digital stock in a transaction that occurred on Thursday, October 17th. The shares were sold at an average price of $8.01, for a total transaction of $80,100.00. Following the sale, the director now owns 208,506 shares of the company’s stock, valued at approximately $1,670,133.06. The trade was a 4.58 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders sold 359,369 shares of company stock worth $3,115,161. 11.81% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of APLD. Geode Capital Management LLC grew its stake in Applied Digital by 48.7% in the 3rd quarter. Geode Capital Management LLC now owns 3,061,160 shares of the company’s stock worth $25,258,000 after acquiring an additional 1,002,862 shares during the period. Hood River Capital Management LLC grew its stake in Applied Digital by 8.7% in the 2nd quarter. Hood River Capital Management LLC now owns 9,596,231 shares of the company’s stock worth $57,098,000 after acquiring an additional 771,699 shares during the period. Alight Capital Management LP purchased a new stake in Applied Digital in the 2nd quarter worth approximately $3,570,000. Barclays PLC grew its stake in Applied Digital by 736.8% in the 3rd quarter. Barclays PLC now owns 486,577 shares of the company’s stock worth $4,014,000 after acquiring an additional 428,428 shares during the period. Finally, Thomist Capital Management LP purchased a new stake in Applied Digital in the 2nd quarter worth approximately $2,529,000. 65.67% of the stock is currently owned by institutional investors and hedge funds.

Applied Digital Company Profile

Applied Digital Corporation designs, develops, and operates datacenters in North America. Its datacenters provide digital infrastructure solutions to the high-performance computing industry. The company also provides artificial intelligence cloud services, high performance computing datacenter hosting, and crypto datacenter hosting services.