Applied Digital’s (APLD) “Buy” Rating Reiterated at Needham & Company LLC

Needham & Company LLC reiterated their buy rating on shares of Applied Digital (NASDAQ:APLD) in a research report sent to investors on Thursday,Benzinga reports. Needham & Company LLC currently has a $41.00 price target on the stock.

Several other analysts have also recently commented on APLD. B. Riley reiterated a “buy” rating on shares of Applied Digital in a research note on Wednesday, October 22nd. Freedom Capital upgraded Applied Digital to a “strong-buy” rating in a research report on Tuesday, January 6th. Craig Hallum increased their price target on Applied Digital to $39.00 and gave the company a “buy” rating in a research note on Thursday, October 23rd. Citigroup reaffirmed an “outperform” rating on shares of Applied Digital in a research note on Tuesday, December 30th. Finally, Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Applied Digital in a report on Wednesday, October 8th. Two analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating and one has given a Sell rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of “Buy” and a consensus target price of $33.27.

Applied Digital Trading Up 18.0%

APLD stock opened at $37.68 on Thursday. The company has a debt-to-equity ratio of 0.29, a current ratio of 0.65 and a quick ratio of 0.65. Applied Digital has a 1-year low of $3.31 and a 1-year high of $40.20. The business has a 50 day simple moving average of $27.33 and a two-hundred day simple moving average of $21.83. The company has a market capitalization of $10.52 billion, a price-to-earnings ratio of -69.78 and a beta of 6.89.

Applied Digital (NASDAQ:APLD) last released its quarterly earnings data on Wednesday, January 7th. The company reported ($0.11) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.09) by ($0.02). Applied Digital had a negative net margin of 43.49% and a negative return on equity of 17.52%. The company had revenue of $126.59 million for the quarter, compared to the consensus estimate of $82.22 million. During the same quarter in the previous year, the business earned ($0.06) EPS. The company’s quarterly revenue was up 250.1% on a year-over-year basis. Research analysts anticipate that Applied Digital will post -0.96 EPS for the current fiscal year.

Insider Activity at Applied Digital

In other Applied Digital news, Director Ella G. Benson sold 42,569 shares of the company’s stock in a transaction that occurred on Wednesday, October 29th. The stock was sold at an average price of $35.30, for a total transaction of $1,502,685.70. Following the sale, the director directly owned 69,256 shares in the company, valued at $2,444,736.80. This represents a 38.07% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this link. Also, CFO Mohammad Saidal Lavanw Mohmand sold 37,503 shares of Applied Digital stock in a transaction that occurred on Tuesday, October 28th. The stock was sold at an average price of $36.47, for a total value of $1,367,734.41. Following the completion of the transaction, the chief financial officer owned 121,409 shares of the company’s stock, valued at approximately $4,427,786.23. This trade represents a 23.60% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 328,035 shares of company stock valued at $11,376,479 over the last ninety days. 9.50% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Applied Digital

A number of institutional investors and hedge funds have recently modified their holdings of the business. Atlantic Union Bankshares Corp bought a new position in Applied Digital in the 2nd quarter valued at $25,000. Noble Wealth Management PBC purchased a new stake in shares of Applied Digital during the fourth quarter valued at $25,000. Larson Financial Group LLC grew its holdings in shares of Applied Digital by 56,450.0% in the third quarter. Larson Financial Group LLC now owns 1,131 shares of the company’s stock worth $26,000 after purchasing an additional 1,129 shares during the last quarter. Northwestern Mutual Wealth Management Co. purchased a new position in Applied Digital in the 2nd quarter worth about $26,000. Finally, Dagco Inc. purchased a new position in Applied Digital in the 3rd quarter worth about $27,000. 65.67% of the stock is owned by institutional investors.

Key Headlines Impacting Applied Digital

Here are the key news stories impacting Applied Digital this week:

• Positive Sentiment: Company delivered a blowout Q2: revenue jumped ~250% YoY to ~$126.6M driven by Polaris Forge 1 ramp and HPC tenant fit-outs; management disclosed a large lease pipeline and multi-year contracts that underpin long-term growth. Applied Digital beats quarterly revenue estimates on AI data center demand, shares jump
• Positive Sentiment: Multiple bullish analyst moves: Arete Research initiated coverage with a Buy and $99 price target (large bullish signal), Freedom Capital initiated a Buy ($36 PT) and Needham reiterated Buy ($41 PT) — these upgrades and high targets amplify buying interest. Arete Research Initiates Applied Digital (APLD) with $99 PT, Buy Rating
• Positive Sentiment: Market commentary highlights accelerating momentum: analysts and outlets point to a growing backlog (reported ~$15B), plans to add ~900 MW of capacity, a goal of $1B NOI over coming years, and potential new hyperscaler customers — all supportive of higher future cash flows. Applied Digital Reignites Momentum After a Blowout Quarter
• Positive Sentiment: Press coverage flags an impending hyperscaler lease and continued AI demand as near-term catalysts that could drive additional revenue and give the stock more upside. Applied Digital Teases New AI Hyperscaler Customer in 2026. The Stock Rises.
• Neutral Sentiment: Detailed company disclosures and the full Q2 earnings/call transcript are available for investors evaluating execution, margin trends and cadence of lease signings. Review the transcript for operator commentary and guidance signals. Applied Digital Corporation (APLD) Q2 2026 Earnings Call Transcript
• Negative Sentiment: GAAP/profitability caveats: higher costs dragged reported EPS below consensus (company reported a loss per share vs. mixed adjusted metrics), with negative net margin and negative ROE on a GAAP basis — investors should watch margin recovery and cash flow conversion. Applied Digital’s Q2 Earnings Miss Estimates, Revenues Rise Y/Y

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.