Applied Digital (NASDAQ:APLD) Stock Price Down 6.9% – Here’s Why

Applied Digital Corporation (NASDAQ:APLD)’s share price traded down 6.9% during trading on Wednesday . The stock traded as low as $26.86 and last traded at $26.87. 12,713,028 shares changed hands during mid-day trading, a decline of 46% from the average session volume of 23,580,053 shares. The stock had previously closed at $28.85.

Analyst Ratings Changes

A number of analysts recently issued reports on the company. Compass Point reissued a “buy” rating and set a $70.00 price objective on shares of Applied Digital in a research report on Friday, May 22nd. Northland Securities set a $82.00 target price on shares of Applied Digital and gave the company an “outperform” rating in a research report on Wednesday, June 17th. Needham & Company LLC reaffirmed a “buy” rating and set a $83.00 target price on shares of Applied Digital in a research note on Tuesday, July 28th. Citigroup reiterated a “market outperform” rating on shares of Applied Digital in a research report on Monday, August 3rd. Finally, Lake Street Capital boosted their price target on shares of Applied Digital from $70.00 to $90.00 and gave the company a “buy” rating in a research note on Tuesday, June 9th. Three equities research analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating, two have given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $68.15.

Applied Digital Stock Performance

The firm has a 50-day moving average price of $32.04 and a 200 day moving average price of $33.48. The firm has a market capitalization of $7.83 billion, a PE ratio of -30.19 and a beta of 5.75. The company has a quick ratio of 4.01, a current ratio of 4.01 and a debt-to-equity ratio of 2.88.

Applied Digital (NASDAQ:APLD) last issued its quarterly earnings data on Monday, July 27th. The company reported ($0.39) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.09) by ($0.30). The firm had revenue of $240.35 million during the quarter, compared to analyst estimates of $96.85 million. Applied Digital had a negative net margin of 37.78% and a negative return on equity of 16.42%. The company’s quarterly revenue was up 406.3% compared to the same quarter last year. During the same period in the previous year, the firm posted ($0.24) earnings per share. Research analysts expect that Applied Digital Corporation will post -1.09 earnings per share for the current year.

Insider Buying and Selling

In other Applied Digital news, Director Richard N. Nottenburg sold 75,000 shares of Applied Digital stock in a transaction dated Tuesday, August 4th. The stock was sold at an average price of $31.15, for a total value 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 $4,154,724.70. The trade was a 35.99% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. 9.50% of the stock is owned by company insiders.

Institutional Trading of Applied Digital

Several hedge funds have recently made changes to their positions in the business. HighTower Advisors LLC boosted its stake in shares of Applied Digital by 13.7% in the second quarter. HighTower Advisors LLC now owns 37,368 shares of the company’s stock valued at $1,394,000 after purchasing an additional 4,498 shares during the period. VIRGINIA RETIREMENT SYSTEMS ET Al purchased a new stake in Applied Digital during the 2nd quarter worth approximately $962,000. California State Teachers Retirement System lifted its holdings in Applied Digital by 3,718.0% during the 2nd quarter. California State Teachers Retirement System now owns 11,121,928 shares of the company’s stock worth $414,848,000 after buying an additional 10,830,623 shares in the last quarter. Ameritas Advisory Services LLC acquired a new stake in Applied Digital during the 2nd quarter worth approximately $272,000. Finally, AlphaGrep UK Ltd purchased a new position in Applied Digital in the 2nd quarter valued at approximately $254,000. Institutional investors and hedge funds own 65.67% of the company’s stock.

About Applied Digital

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.