Applied Digital (NASDAQ:APLD) Stock Price Down 1.2% - Here's Why

Applied Digital Co. (NASDAQ:APLD - Get Free Report)'s stock price fell 1.2% on Wednesday . The company traded as low as $7.22 and last traded at $7.50. 5,713,151 shares were traded during trading, a decline of 75% from the average session volume of 23,204,156 shares. The stock had previously closed at $7.59.

Analyst Upgrades and Downgrades

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

Applied Digital Trading Up 15.2 %

The firm has a market capitalization of $2.03 billion, a price-to-earnings ratio of -5.27 and a beta of 4.77. The firm's 50 day moving average is $8.43 and its 200 day moving average is $7.25. The company has a quick ratio of 0.77, a current ratio of 0.77 and a debt-to-equity ratio of 1.22.

Applied Digital (NASDAQ:APLD - Get Free Report) last released its earnings results on Tuesday, January 14th. The company reported ($0.06) EPS for the quarter, beating the consensus estimate of ($0.14) by $0.08. Applied Digital had a negative net margin of 127.86% and a negative return on equity of 117.67%. The business had revenue of $63.87 million during the quarter, compared to analyst estimates of $62.41 million. During the same period in the prior year, the business earned ($0.05) earnings per share. The business's quarterly revenue was up 51.3% on a year-over-year basis. Equities analysts forecast that Applied Digital Co. will post -0.96 earnings per share for the current year.

Insider Activity

In other news, Director Richard N. Nottenburg sold 20,000 shares of the business's stock in a transaction that occurred on Friday, January 17th. The shares were sold at an average price of $8.85, for a total transaction of $177,000.00. Following the sale, the director now owns 342,923 shares in the company, valued at $3,034,868.55. The trade was a 5.51 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Wes Cummins sold 200,000 shares of the company's stock in a transaction that occurred on Wednesday, November 27th. The shares were sold at an average price of $9.20, for a total transaction 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 position. The disclosure for this sale can be found here. Insiders have sold 270,000 shares of company stock worth $2,477,000 over the last 90 days. 11.81% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in APLD. Wilmington Savings Fund Society FSB increased its stake in Applied Digital by 100.0% in the 4th quarter. Wilmington Savings Fund Society FSB now owns 4,000 shares of the company's stock valued at $31,000 after buying an additional 2,000 shares during the period. R Squared Ltd acquired a new position in Applied Digital in the 4th quarter valued at approximately $36,000. US Bancorp DE acquired a new position in Applied Digital in the 4th quarter valued at approximately $37,000. Jones Financial Companies Lllp acquired a new position in Applied Digital in the 4th quarter valued at approximately $39,000. Finally, Spire Wealth Management acquired a new position in Applied Digital in the 4th quarter valued at approximately $43,000. Institutional investors and hedge funds 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.