Applied Digital (NASDAQ:APLD) Stock Price Down 9.2% – Time to Sell?

Shares of Applied Digital Co. (NASDAQ:APLD) were down 9.2% during mid-day trading on Monday . The company traded as low as $6.53 and last traded at $6.59. Approximately 6,398,956 shares were traded during mid-day trading, a decline of 77% from the average daily volume of 27,996,920 shares. The stock had previously closed at $7.26.

Wall Street Analyst Weigh In

A number of brokerages have commented on APLD. Cantor Fitzgerald lowered their target price on Applied Digital from $15.00 to $14.00 and set an “overweight” rating on the stock in a report on Wednesday, January 15th. Northland Securities lifted their price objective on Applied Digital from $12.00 to $20.00 and gave the stock an “outperform” rating in a research report on Tuesday, February 4th. Compass Point began coverage on shares of Applied Digital in a report on Tuesday, January 28th. They issued a “buy” rating and a $10.00 target price on the stock. Needham & Company LLC reiterated a “buy” rating and set a $11.00 price target on shares of Applied Digital in a report on Monday, February 24th. Finally, HC Wainwright boosted their price objective on shares of Applied Digital from $10.00 to $12.00 and gave the company a “buy” rating in a research report on Wednesday, January 15th. Nine equities research analysts have rated the stock with a buy rating, According to MarketBeat.com, the company presently has an average rating of “Buy” and an average target price of $12.11.

Applied Digital Stock Down 14.0 %

The company has a debt-to-equity ratio of 1.22, a current ratio of 0.77 and a quick ratio of 0.77. The stock has a market cap of $1.39 billion, a price-to-earnings ratio of -3.61 and a beta of 4.69. The firm’s 50-day moving average is $8.26 and its 200 day moving average is $7.78.

Applied Digital (NASDAQ:APLD) last released its quarterly earnings data on Tuesday, January 14th. The company reported ($0.06) EPS for the quarter, topping 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 business 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 firm posted ($0.05) EPS. The business’s revenue for the quarter was up 51.3% on a year-over-year basis. Sell-side analysts anticipate that Applied Digital Co. will post -0.96 earnings per share for the current fiscal year.

Insider Activity

In other news, Director Richard N. Nottenburg sold 20,000 shares of the firm’s stock in a transaction on Friday, January 17th. The shares were sold at an average price of $8.85, for a total value of $177,000.00. Following the transaction, the director now owns 342,923 shares of the company’s stock, valued at approximately $3,034,868.55. This trade represents a 5.51 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Corporate insiders own 11.81% of the company’s stock.

Institutional Trading of Applied Digital

A number of institutional investors have recently added to or reduced their stakes in APLD. Polar Asset Management Partners Inc. acquired a new position in shares of Applied Digital during the fourth quarter worth about $510,000. Mackenzie Financial Corp purchased a new stake in shares of Applied Digital during the 4th quarter valued at about $92,000. GTS Securities LLC purchased a new position in Applied Digital in the 4th quarter worth approximately $196,000. Two Seas Capital LP purchased a new position in Applied Digital in the 4th quarter worth approximately $5,062,000. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its position in Applied Digital by 271.8% in the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 343,260 shares of the company’s stock valued at $2,623,000 after acquiring an additional 250,944 shares in the last quarter. 65.67% of the stock is owned by hedge funds and other institutional investors.

About Applied Digital

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.