Applied Digital (NASDAQ:APLD) Stock Price Up 11.8% – Still a Buy?

Applied Digital Co. (NASDAQ:APLD) traded up 11.8% on Friday . The company traded as high as $12.48 and last traded at $11.38. 33,883,226 shares changed hands during trading, an increase of 35% from the average session volume of 25,027,541 shares. The stock had previously closed at $10.18.

Wall Street Analysts Forecast Growth

APLD has been the subject of a number of recent analyst reports. Compass Point began coverage on Applied Digital in a research report on Tuesday, January 28th. They issued a “buy” rating and a $10.00 price objective for the company. Cantor Fitzgerald cut their price objective on shares of Applied Digital from $15.00 to $14.00 and set an “overweight” rating for the company in a research report on Wednesday, January 15th. Needham & Company LLC restated a “buy” rating and set a $11.00 price objective on shares of Applied Digital in a report on Wednesday, January 15th. Northland Securities increased their target price on Applied Digital from $12.00 to $20.00 and gave the stock an “outperform” rating in a research note on Tuesday, February 4th. Finally, HC Wainwright boosted their price target on Applied Digital from $10.00 to $12.00 and gave the company a “buy” rating in a research note on Wednesday, January 15th. Nine analysts have rated the stock with a buy rating, According to MarketBeat.com, the stock has an average rating of “Buy” and an average target price of $12.11.

Applied Digital Trading Up 6.4 %

The firm has a market capitalization of $2.41 billion, a P/E ratio of -6.26 and a beta of 4.77. The company has a quick ratio of 0.77, a current ratio of 0.77 and a debt-to-equity ratio of 1.22. The firm has a 50 day moving average of $8.45 and a 200-day moving average of $7.43.

Applied Digital (NASDAQ:APLD) last released its earnings results on Tuesday, January 14th. The company reported ($0.06) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.14) by $0.08. Applied Digital had a negative return on equity of 117.67% and a negative net margin of 127.86%. The firm had revenue of $63.87 million during the quarter, compared to the consensus estimate of $62.41 million. During the same period in the prior year, the company posted ($0.05) EPS. The company’s revenue was up 51.3% compared to the same quarter last year. On average, equities research analysts predict that Applied Digital Co. will post -0.96 earnings per share for the current fiscal year.

Insider Buying and Selling at Applied Digital

In related news, Director Richard N. Nottenburg sold 50,000 shares of the firm’s stock in a transaction on Wednesday, November 27th. The stock was sold at an average price of $9.20, for a total transaction of $460,000.00. Following the completion of the transaction, the director now directly owns 334,317 shares of the company’s stock, valued at $3,075,716.40. This trade represents a 13.01 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Wes Cummins sold 200,000 shares of Applied Digital stock in a transaction dated Wednesday, November 27th. The stock was sold at an average price of $9.20, for a total value of $1,840,000.00. Following the transaction, the chief executive officer now directly owns 3,875,955 shares in the company, valued at $35,658,786. The trade was a 4.91 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 270,000 shares of company stock valued at $2,477,000 in the last ninety days. 11.81% of the stock is currently owned by company insiders.

Institutional Trading of Applied Digital

A number of institutional investors and hedge funds have recently added to or reduced their stakes in APLD. Charles Schwab Investment Management Inc. boosted its stake in shares of Applied Digital by 36.5% in the 3rd quarter. Charles Schwab Investment Management Inc. now owns 899,293 shares of the company’s stock valued at $7,419,000 after purchasing an additional 240,554 shares during the last quarter. Quadrature Capital Ltd bought a new stake in Applied Digital during the third quarter valued at $545,000. Exchange Traded Concepts LLC grew its holdings in Applied Digital by 37.6% during the 4th quarter. Exchange Traded Concepts LLC now owns 1,002,090 shares of the company’s stock worth $7,656,000 after acquiring an additional 273,666 shares during the period. Barclays PLC grew its holdings in Applied Digital by 736.8% during 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, SG Americas Securities LLC grew its holdings in Applied Digital by 414.5% during the 4th quarter. SG Americas Securities LLC now owns 265,792 shares of the company’s stock worth $2,031,000 after acquiring an additional 214,133 shares during the period. Institutional investors and hedge funds own 65.67% of the company’s stock.

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.