Applied Digital (NASDAQ:APLD) Trading Up 15.8% - Here's What Happened

Applied Digital Co. (NASDAQ:APLD - Get Free Report) shot up 15.8% during mid-day trading on Tuesday . The stock traded as high as $9.72 and last traded at $9.00. 38,717,260 shares traded hands during mid-day trading, an increase of 116% from the average session volume of 17,919,533 shares. The stock had previously closed at $7.77.

Analysts Set New Price Targets

Several brokerages have recently commented on APLD. Lake Street Capital increased their price objective on Applied Digital from $7.00 to $11.00 and gave the company a "buy" rating in a report on Thursday, October 10th. Needham & Company LLC reiterated a "buy" rating and issued a $11.00 price target on shares of Applied Digital in a research note on Friday, November 1st. Craig Hallum boosted their price target on Applied Digital from $10.00 to $12.00 and gave the stock a "buy" rating in a research note on Thursday, October 10th. Roth Mkm restated a "buy" rating and set a $10.00 price objective on shares of Applied Digital in a report on Thursday, October 10th. Finally, Cantor Fitzgerald began coverage on shares of Applied Digital in a research note on Friday, December 20th. They issued an "overweight" rating and a $15.00 target price for the company. Seven research analysts have rated the stock with a buy rating, According to MarketBeat, the stock currently has a consensus rating of "Buy" and an average target price of $11.14.

Applied Digital Trading Up 10.1 %

The stock has a 50-day moving average of $8.74 and a 200 day moving average of $6.94. The company has a quick ratio of 0.22, a current ratio of 0.22 and a debt-to-equity ratio of 0.62. The stock has a market cap of $1.80 billion, a PE ratio of -7.30 and a beta of 4.78.

Applied Digital (NASDAQ:APLD - Get Free Report) last released its quarterly earnings data on Tuesday, January 14th. The company reported ($0.06) EPS for the quarter, beating the consensus estimate of ($0.14) by $0.08. The business had revenue of $63.87 million for the quarter, compared to the consensus estimate of $62.41 million. Applied Digital had a negative net margin of 74.95% and a negative return on equity of 88.87%. The business's revenue for the quarter was up 51.3% on a year-over-year basis. During the same period in the prior year, the firm earned ($0.05) EPS. As a group, sell-side analysts anticipate that Applied Digital Co. will post -0.4 earnings per share for the current year.

Insider Buying and Selling at Applied Digital

In other Applied Digital news, CEO Wes Cummins sold 200,000 shares of the company's stock in a transaction dated Wednesday, November 27th. The shares were sold at an average price of $9.20, for a total value of $1,840,000.00. Following the completion of the transaction, the chief executive officer now owns 3,875,955 shares in the company, valued at approximately $35,658,786. This represents a 4.91 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Richard N. Nottenburg sold 19,369 shares of the firm's stock in a transaction dated Thursday, November 7th. The shares were sold at an average price of $7.51, for a total value of $145,461.19. Following the sale, the director now owns 384,317 shares in the company, valued at $2,886,220.67. This trade represents a 4.80 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders sold 279,369 shares of company stock worth $2,525,561. Insiders own 11.81% of the company's stock.

Hedge Funds Weigh In On Applied Digital

A number of hedge funds have recently bought and sold shares of the business. SeaCrest Wealth Management LLC acquired a new position in shares of Applied Digital during the 4th quarter worth approximately $586,000. Gunderson Capital Management Inc. purchased a new stake in Applied Digital in the 4th quarter worth $83,000. JPMorgan Chase & Co. raised its position in Applied Digital by 18.4% during the third quarter. JPMorgan Chase & Co. now owns 56,355 shares of the company's stock worth $465,000 after acquiring an additional 8,774 shares during the period. Tidal Investments LLC purchased a new position in Applied Digital during the third quarter valued at $95,000. Finally, Virtu Financial LLC acquired a new stake in shares of Applied Digital in the third quarter valued at about $2,030,000. Hedge funds and other institutional investors 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.