Applied Digital (NASDAQ:APLD) Stock Price Down 6.1% – Here’s What Happened

Applied Digital Corporation (NASDAQ:APLD) was down 6.1% during trading on Tuesday . The stock traded as low as $25.93 and last traded at $26.08. Approximately 17,762,110 shares were traded during mid-day trading, a decline of 49% from the average daily volume of 35,027,445 shares. The stock had previously closed at $27.78.

Analyst Upgrades and Downgrades

Several equities analysts have issued reports on APLD shares. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Applied Digital in a report on Wednesday, October 8th. Lake Street Capital upped their price target on shares of Applied Digital from $18.00 to $37.00 and gave the stock a “buy” rating in a research report on Friday, October 10th. Needham & Company LLC reaffirmed a “buy” rating and issued a $41.00 price target on shares of Applied Digital in a research note on Wednesday, October 29th. B. Riley reiterated a “buy” rating on shares of Applied Digital in a research note on Wednesday, October 22nd. Finally, HC Wainwright increased their target price on Applied Digital from $20.00 to $40.00 and gave the company a “buy” rating in a report on Friday, October 10th. One research analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, Applied Digital currently has an average rating of “Moderate Buy” and an average price target of $26.20.

Applied Digital Stock Down 6.1%

The stock has a market capitalization of $7.28 billion, a price-to-earnings ratio of -23.08 and a beta of 6.95. The company has a quick ratio of 0.65, a current ratio of 0.65 and a debt-to-equity ratio of 0.29. The business’s 50-day moving average is $29.21 and its two-hundred day moving average is $20.30.

Applied Digital (NASDAQ:APLD) last released its quarterly earnings data on Thursday, October 9th. The company reported ($0.03) EPS for the quarter, beating analysts’ consensus estimates of ($0.11) by $0.08. The company had revenue of $64.22 million during the quarter, compared to the consensus estimate of $52.25 million. Applied Digital had a negative net margin of 111.29% and a negative return on equity of 37.14%. Applied Digital’s quarterly revenue was up 84.3% on a year-over-year basis. During the same quarter in the prior year, the firm earned ($0.15) EPS. Equities analysts anticipate that Applied Digital Corporation will post -0.96 EPS for the current year.

Insider Buying and Selling at Applied Digital

In related news, Director Richard N. Nottenburg sold 34,375 shares of the firm’s stock in a transaction dated Friday, October 24th. The shares were sold at an average price of $33.23, for a total transaction of $1,142,281.25. Following the completion of the sale, the director directly owned 263,612 shares in the company, valued at approximately $8,759,826.76. This trade represents a 11.54% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director Rachel H. Lee sold 24,213 shares of Applied Digital stock in a transaction dated Friday, October 24th. The stock was sold at an average price of $33.20, for a total transaction of $803,871.60. Following the transaction, the director directly owned 59,400 shares in the company, valued at $1,972,080. This trade represents a 28.96% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have sold 328,035 shares of company stock worth $11,376,479. Corporate insiders own 9.50% of the company’s stock.

Institutional Trading of Applied Digital

A number of hedge funds and other institutional investors have recently made changes to their positions in APLD. Hood River Capital Management LLC grew its stake in shares of Applied Digital by 2.8% in the second quarter. Hood River Capital Management LLC now owns 21,859,031 shares of the company’s stock valued at $220,120,000 after buying an additional 592,314 shares in the last quarter. Vanguard Group Inc. boosted its holdings in Applied Digital by 23.2% during the 3rd quarter. Vanguard Group Inc. now owns 17,722,174 shares of the company’s stock valued at $406,547,000 after acquiring an additional 3,339,062 shares during the period. Situational Awareness LP grew its position in Applied Digital by 63.3% in the 2nd quarter. Situational Awareness LP now owns 6,591,800 shares of the company’s stock valued at $66,379,000 after acquiring an additional 2,556,200 shares in the last quarter. BNP Paribas Financial Markets increased its stake in Applied Digital by 24,356.8% during the second quarter. BNP Paribas Financial Markets now owns 5,219,565 shares of the company’s stock worth $52,561,000 after purchasing an additional 5,198,223 shares during the period. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its stake in Applied Digital by 20.2% during the third quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 3,199,135 shares of the company’s stock worth $73,388,000 after purchasing an additional 537,839 shares during the period. Institutional investors and hedge funds own 65.67% of the company’s stock.

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.